Cash Buyer In order to make an offer on a property, the buyer will need: 1. To wire transfer a minium of, but not limited to 10% of the offer price as a deposit to a title company, here in the USA. (In Florida we do not use lawyers or Solicitors to clear the title, and survey etc. We use Title Companies. In Florida we do not sell property unless the title of said property is clear of all leans and encumbrances) 2. Proof of funds from the buyers bank in the form of a current bank statement or letter head from the buyer's banking institution, stating that the buyer has the funds to cover the cost of the property. 3. The signed "purchase and sell" contract with the buyers formal written offer to the seller/bank. (buyer's Realtor® will prepare the contract and fax it to said buyer for signiture) Buyers obtaining financing/Mortgage In order to make an offer on a porperty, the buyer will need: 1. To wire transfer a minium of, but not limited to a 3.5% of the offer price as a deposit in an escrow company. Here in the USA. 2. Proof of qualification from the buyer's mortgage/lender institution. 3. The signed "purchase and sell" contract with the buyers formal written offer to the seller/bank. (buyer's Realtor® will prepare the contract and fax it to said buyer for signature) Once the buyer has submitted an offer with all of the above documents, the buyer will wait for one of three things to happen: 1. The seller/bank will decline the buyers offer. (at which time the buyer may have the deposit/escrow refunded, or the buyer may choose to leave the funds in the escrow account and continue to use it to make offers on other properties.) 2. The seller/bank "calls" for "highest and best" (which means that the buyer is bidding against several offers and they want to know the best price the buyer is willing to offer at this time the buyer may withdraw his/her offer or he/she may offer their highest and best offer they are willing to pay.) 3. The seller/bank excepts the buyer's offer (at which time the buyer and the seller are entered into a binding executed contract to purchase and sell the property.)
Once the buyer has an executed/accepted contract, the process is as follows: 1. The buyer will have about one week to get an inspection. This fee is approximately $250 and will be due at the time of service (If the inspection is not to your/the buyer's satisfaction, the buyer may withdraw his/her offer and escrow deposit, or he/she may leave the deposit in the account for future offers. The buyer's Realtor® will facilitate this service if needed) 2. The appraisal will be ordered by your Realtor®, this fee is approximately $350 and will be due at the time of service. (If the appraisal comes back lower than the buyers offer, then the buyer has the choice of re-negotiation or to withdraw his/her offer and his/her escrow or to leave the escrow in for future offers. The buyer's Realtor® will facilitate this service if needed) 3. The title company will make sure the title is clear of all encumbrances, if not the seller/bank will pay whatever needs to be paid for in order for the title company to sign off on a clear title. At that time they will contact the buyer's Realtor® with a closing date. 2 days before the closing day there will be a HUD statement issued to the buyer, so that he/she will be able to review all of the fees and closing costs and the final dollar amount that the buyer will need to bring to closing or wire into the escrow account. Closing will take place in one of these ways: 1. The buyer will come in person to the location where the closing is to take place, usually the title company or the buyer's Realtor's office, to sign all of the papers. (a representative from the title company will come and explain the paper work.) 2. Mail away. (the paper work will be mailed to the buyer for signature and return of the paper work.) 3. A mobile closer (A representative of the title company IF available in the buyer's home town will come and explain the paper work for signature.) 4. The buyer may obtain his own lawyer in his home town to explain the paper work for signature and the buyer's lawyer may mail it back to the title company. |