Pre Qualification or Pre Approval
There is a difference between the two! A Pre Qualification for a mortgage can mean several things depending on what bank or mortgage company you talk to. In most cases, a mortgage Pre Qualification means simply that a loan officer has asked you some financial and credit questions and then issued you a non binding statement that you will probably qualify for a mortgage. A Pre Approval should mean you have started the loan process by meeting with a bank or mortgage company.

Once you have established your price range and preferred locations, I will provide you with a detailed list of all homes listed in the Downriver Multiple Listing Service. The MLS includes all properties for sale listed by a Realtor, not just Carol Bollo and Associates properties.

I will also enter your criteria in the "Prospect" section of the MLS. The system will then notify me any time an agent enters a listing that matches your criteria. I will then contact you with these listings.

Advertised Homes
There are four major sources of real estate advertising in this area; Distinctive Homes Of Downriver (part of the News Herald), Homeview Magazine, Living Downriver, and The Real Estate Book. Each of these publications includes properties that have been listed at least 2 weeks prior. Because of the ad copy deadline for these publications, many of the homes are sold by the time the ad runs.

I do not refer to any advertisements in my search to locate a property for you. The MLS system is the premier source of real estate for Realtors. The MLS has 100% of the listings and up-to-the-minute information.

Drive By
This is the first step when looking at homes. I suggest you drive by all homes before looking inside them. I have two main reasons for this. 1. Make sure you like the outside look of the home. If you do not like the way the house looks why bother looking inside. 2. Check out the neighborhood. You always want to make sure you like the area you are moving to.

As you are driving by homes, you will probably notice other real estate signs showing homes for sale that were not part of your list or updated lists. This may occur for several reasons; the property may not match the criteria you gave, it may be out of your price range; or finally, it may be a brand new listing that is not yet entered in the MLS.

I encourage you to note any addresses that you come by. I can easily check the details and the price of any home!

Appointments to View Homes
Once you have decided which homes you want to view, an appointment will be set with the listing company and the seller. Some sellers require 24-hour notice for showings. Some sellers issue keys or lock boxes. If we are looking at more than one home, I will probably arrange appointments within 1/2 hour increments.

The Deposit
Once you decide to make an offer on a property, a deposit will be required. This deposit also referred to as "Good Faith" or " Earnest Money' will be held by Carol Bollo and Associates and deposited in a trust account for you if and when the seller accepts your offer. Your deposit will then be applied as a credit to the closing costs at the real estate closing.

In most cases, a $1000.00 minimum deposit will be required. The reason for a deposit is to show that as the buyer, you are serious about your offer. It gives the seller comfort in taking their home off the market for you while you apply for your mortgage.

Writing the Offer
I cannot cover all of the details that are included in writing an offer in this packet but let me provide you with a basic understanding of what writing an offer means.

A Contract To Purchase (offer) is a legal document. It clearly outlines each and every item that will be sold with the home, how the sale will be consummated (cash, mortgage), when the closing will occur, what inspections will be done, who will pay for repairs required if any, when the seller will move out of the home, whether or not there will be rent paid to the buyer, and many other items! You will be required to review and sign a federally regulated form and booklet entitled " Lead Based Paint Disclosure" as well as a state mandated form entitled "Sellers Disclosure Statement". Both of these disclosures are attached to any offer you write. The Sellers Disclosure Statement is a document that the seller completes listing in detail whether or not there are any defects to the property that they are aware of. The Lead Based Paint Disclosure is the federally mandated form that the seller informs you if the home was built after 1979 and if they have knowledge of any lead based paint.

The Contract To Purchase and all of the addendum's and disclosure statements are documents that we will review in detail, before you sign anything.

Presenting the Offer
Usually I will be able to meet the Sellers with their agent and present your offer in person. This normally is done at the listing agents' office. Sometimes I will have to fax the offer to the listing agent. My preference is to present the offer in person. If everything is acceptable to the Seller the offer is accepted and we get together to "Bottom-Line" the offer. This is where we acknowledge the seller has accepted our offer. Sometimes the seller will make changes to the offer. When this happens the offer is called a counter-offer. If this happens we have to make a decision to accept the changes. This is commonly known as Negotiations. As a buyers agent I will guide you through this process

Home Inspections
There are many types of home inspections depending on what type of mortgage you are applying for. There are also city inspections for some downriver communities and as a buyer, you have a right to make any offer contingent upon your own PRIVATE HOME INSPECTION by a licensed contractor or home inspector.

One thing to be clear on in regard to home inspections is this; only a private home inspection, which you pay for as the buyer, is an inspection aimed at protecting you. City inspections, FHA or bank inspections are not intended or completed on behalf of the buyer. In other words, these inspectors cannot be held liable for anything they miss.

We will discuss your option of a private home inspection in detail.

Local, City Inspections
Some municipalities have their own local inspection for residential homes. It is the seller's responsibility to order and pay for the cost of the actual inspection but any items that are cited for repair can in most cases be negotiated between the buyer and the seller.

I will advise you of which areas require a city inspection. If you are looking for a property in an area that has an inspection, any repairs that are cited will in most cases have to be done prior to closing unless you agree to assume some of the minor repairs.

FHA or VA Inspections
If you are applying for an FHA or VA mortgage, the bank appraiser will also complete the required FHA or VA inspection form. In most cases, any repairs sited will have to be completed prior to closing. As with all items in a Contract To Purchase, FHA or VA repairs can be negotiated between the Purchaser and Seller.

Application
Once an offer is fully accepted you will need to apply for your loan. You may have started this process at the Pre Approval stage. Either way you will need to meet with the bank or mortgage company to give them the updated paperwork. This is typically the Purchase agreement, a copy of the listing ticket, a copy of your deposit check, a copy of the disclosure statements, and any addendums.

Loan Process
The bank or mortgage company may request more information during the loan process. It is your responsibility to get them what they need as quick as possible. Once they have everything they need your loan will be submitted to underwriting.

Underwriting
This is the process were everything the rep has collect is reviewed to make sure all the I's are dotted and T's crossed. If everything is in order your loan is approved and we get ready to close. Sometimes the rep will miss something and we need to get that to them for the approval.

Homeowner's Insurance
Even before you get the mortgage approval, I recommend that you check with some of the insurance companies. This gives you an opportunity to compare policies and rates. If you are getting a loan you will more than likely need a one year homeowner's insurance policy with a paid receipt at closing. Obviously, we recommend everyone get homeowner's insurance on their new home.

Closing Date
Now that we have an approval we need to set the closing date. I recommend you be as flexible with this as possible. This closing needs to be coordinated with the seller, buyer, title company, bank or mortgage company, and real estate agents. As you can see it is no easy task to work around everyone's schedule. Keep in mind the bank, mortgage company, and title company usually need about 3 full business days to prepare documents for the closing. Also Fridays and end of the month (28th-31st) tend to get booked in advance.

Utilities
You will need to coordinate your move with the utility companies. All you need to do is call the electric and gas companies and let them know when you are getting possession of the home. Make sure to do this a minimum of a week in advance of the closing. When it comes to water, some cities will require you to register. I will provide you with a detailed list, if available, of pertinent numbers for the city you buy a home in. DTE will handle most cities electric and gas, DTE Energy (Electric and Gas) (800) 477-4747. Wyandotte provides their own electric, Wyandotte Electric (734) 324-7100.

Walk Through
Once we have a closing date we can schedule our walk through inspection. This is our opportunity to go through the home again and make sure it is in the same condition as it was when we wrote the offer. We typically will do this within 48 hours of the closing date.

Closing day will be exciting. For your closing you need to bring a copy of your drivers' license for ID. Your mortgage company or bank may ask you to bring some addition documents. One of these will be a copy of the homeowners insurance with a paid receipt. Make sure to be on time. I usually recommend getting there 15 minutes early; sometimes the closer can get you started early.

I will periodically keep in touch will you to see how things are going. I look at my clients as friends for life. Whenever you need any real estate help give me a call. If you happen to know someone who needs my help I hope you pass along my name.