Your Reconciled Wish List
Have you made your Wish List? That's everything you would really
love to have in your dream home or dream parcel of land. Then,
have you reconciled that list with a
Reality-Check List? If your dream property is on the market
- at $2 Million - and you're still working on your 1st Million,
you'll need to make some trade-offs and prioritize your desires
and your needs. And finance isn't the only area of potential
dream/reality conflict. Even if you've just won the lottery
and money is no object, Mother Nature doesn't do certain combinations
- at least not in Pagosa Springs. Lakefront on a mountain top,
in the woods, with grand vistas is really hard to find, regardless
of price.
What do you really need in a house or land parcel? The MUST
HAVE list.
What must the property NOT have?
What are your TOP PRIORITY DESIRES?
What features are a definite PLUS, but that you could live without?
An honest, reconciled Wish List is your road map to finding
the house that can become the HOME of your dreams.
Getting a Sense of the Real Estate Market
in Pagosa
You can view current listings for homes and land in the
area by using the PROPERTY SEARCH database on this website. If you need a 3-bedroom
home for under $100,000 and the lowest listing price for a suitable
house is $140,000, you'll be able to see right away that you're
in the wrong market. Or, if you have a $1.5 Million budget that
won't buy a particularly grand dwelling in San Francisco or
Vail, you'll notice right away that you can get more real estate
for your money here in Pagosa Springs.
Get a sense of which neighborhoods appeal to you, and which
don't. Use the neighborhood photos and information on this site to begin
researching your MLS Area options and familiarize yourself with
the Subdivisions. They offer a wide array of terrain and lifestyle
choices. Does the Pagosa Lakes area look appealing to you, or
is Aspen Springs more your style?
Getting Pre-approved for your Loan
Cash Buyers: You can almost skip this part ... however, sellers
will want verification that you really do have the funds to
buy their property. For privacy and "cleanliness"
I recommend that you set up a separate account for the funds
that you will be using to complete the purchase. We will then
get a verification of funds from that account and have it in
your folder for a quick response to the seller.
For the rest of us: Knowing your purchasing power is one of the most important factors
in buying. Know exactly how much you can spend BEFORE you go
shopping for your home or land. Waiting until you have an accepted
offer before you meet with a lender is a horrible idea and may
keep you from getting the property you want. Before we begin
actively looking at individual houses, be pre-approved for your
mortgage.
You probably have an idea of the loan payment and mortgage you
can afford. But will the bank agree with you? They have the
money, so you need to know how much a financial institution
will be willing to lend you.
A pre-approval means you have already submitted a loan application
and most of the necessary paperwork to obtain a loan. Your credit
has been checked, and you have in hand a lender's written commitment
to put together a loan for you, subject to the particular property
you want to buy passing the lender's appraisal.
In the pre-approval process, you will find out:
- What properties you can afford to buy
- Amount of cash you'll need for the down payment
- How much the bank feels you can afford for a monthly payment
Getting pre-approved for your loan is a powerful buying strategy.
Do you want to get the best house you can for the least amount
of money? Then make sure you are in the strongest negotiating
position possible. Price is only one bargaining chip in the
negotiations. Other considerations, such as the strength of
the buyer or the length of escrow, may be critical to a seller.
Being pre-approved gives you a distinct advantage when making
an offer on a property. You can make a more aggressive (lower)
offer, and a seller is more likely to accept an offer, when
the seller and their agent know that you won't l have problems
obtaining financing.
It also makes the process much easier on you. Once you find
your home or land, you'll want to concentrate on planning your
move, not worrying about whether or not your loan will be approved.
Pre-approved vs. pre-qualified Getting pre-approved for a loan is very different from getting pre-qualified. Pre-approval is a lender's commitment to lend; pre-qualifying is more of an opinion based on unverified information, with no commitment involved.
Sellers are aware that a "pre-qualified" certificate from a lender is WORTHLESS ... none of the information has been verified and there is risk that unknown problems will surface: recorded judgments, child support payments due, glitches on the credit report, down payment funds not in the buyer's bank account long enough, etc.
Contact me for a list of reputable lenders in Pagosa Springs.
With your funds arranged for, we can have a wonderful time shopping
for your piece of Pagosa!
Choosing Your Realtor®
Purchasing real estate is a complex process with many details
to be handled before the deal is done. If you buy property only
a few times in your lifetime, you're possibly not expert at
it.
It's only good sense to engage a local partner to help you find and purchase property in the Pagosa Springs area. With so MANY Realtors® in the Pagosa area, how do you go about choosing ONE to work with?
I emphasize one, because stringing along more than one Realtor®
at a time is counterproductive. Did you ever try dating more
than one guy or girl at a time? Boy, can that get messy. We
all have access to the same listings through the MLS, so you
don't need to "play the field" of real estate offices
to have access to current listings. You have access to a PROPERTY SEARCH database right on this website.
So, it comes down to choosing a Realtor® that you have good
rapport with, and one that is trustworthy and skillful
to give you excellent assistance and support throughout the
searching and purchasing
process.
Visit several Realtors®' web sites. That's an efficient
way to screen through several. Is there an abundance of informative
and useful content? How long is response time when you send
an e-mail question? And what do you think of the answers to
your initial questions?
If using a web site and e-mailing is not your style, you can
call a few offices and notice the response you get. Or set up
a face-to-face interview with one or more Realtors® to see
how you hit it off. Choosing the right Realtor® to work
with YOU is another critical part of the buying process.
Why Buyers Choose to Work With Me
It pays to work with the best ...
e-PRO NAR certified internet professional
ABR Accredited Buyer Representative
GRI Graduate REALTOR® Institute - commitment to provide a high level of professional services to clients
MLS Access to ALL participating brokers' listings in the Multiple Listing Service database
Equal Housing Opportunity
I do not discriminate against any person on the basis of race, color, religion, gender, disability, familial status or national origin
Buying Pagosa - The Buying Process in Pagosa
Springs
When you have refined your wish list and integrated it with
the reality of Pagosa Springs, have gotten pre-approved for
your loan, and have chosen your Realtor®, you are ready
to SHOP PAGOSA in earnest.
I provide you with a detailed market analysis that will assure
that you, the Buyer, are aware of all properties listed for
sale within your areas of interest and that meet your search
criteria. I can, on request, notify you by e-mail of new listings
that match your needs.
Over time and with considerable interaction between us, you narrow your search criteria and your property choices to the
few best candidates to actually visit on the ground.
Come to Pagosa and bring your check book. Your offer needs to
be accompanied with earnest money, which will apply to the purchase
price.
Showings - I'll set up appointments with the various listing
offices for private showings of your finalist candidates. You
compare and contrast ... and make your choice.
The Offer to Purchase
Okay, we've found THE house. Time to put in an offer. You want
to buy at the lowest price possible, without insulting the seller.
By this time you know what is for sale in the neighborhood,
and what has actually sold. If this home is representative of
the neighborhood and the neighborhood has been consistently
selling at 97% of the asking price, even with the strength of
your pre-approved loan you are not likely to buy this property
for 10% under the list price. Remember that you are purchasing
real estate, not stealing it. Also, a clean contract without
many contingencies is more likely to be accepted. Be thoughtful
and realistic with your offer. I will provide the data and background
information that you need to do so. Then I'll prepare your offer
on the proper contract forms and have you sign them.
I will present your offer to the listing agent, along with your
earnest money check. Sometimes offers are accepted immediately.
Sometimes they are abruptly refused (i.e. you insulted the seller).
Other times a seller will counter the offer, ushering in a period
of negotiation. Except for the calloused pros, this waiting
or negotiating period is a tense time. I will keep you informed
and help you negotiate with the seller, and make sure that you
understand fully what the counteroffer includes and what is
expected of you when the ball is back in your court.
Your offer was accepted! An offer is finally accepted when
the seller signs it and communicates that fact to the buyer.
The escrow process
title insurance, funding fees, closing
In Colorado Title Companies often provide escrow services and
handle the closing. The accepted purchase offer and earnest
money is turned over to an escrow officer who coordinates and
packages the sellers, buyers, property and lender data for a
successful closing.
The escrow officer's duties entail a title search on the property,
they handle all the funds, they act as a disinterested third
party between buyer and seller, they handle all prorations with
taxes, water & sewer, homeowner associations, they prepare
final closing statements, they handle all the signing of documents,
and they make sure all the proper documents and deeds are recorded
at the appropriate city or county facility.
The seller generally purchases a policy of title insurance
so as to insure the new buyer there are no liens or encumbrances
being transferred to the Buyer.
The loan application
You, savvy Buyer, already have this one in the bag. You are
pre-approved for your financing, right? You just need to notify
your lender that you've found the house that you want to buy,
so they can arrange for the appraisal. Other folks need to apply
for a loan here, and HOPE that they can get financing to buy
the property.
The inspection
A home inspector will walk through the property with you, or
on his own, pointing out things you might have originally missed,
and give you tips on maintaining the property once you own it. A home inspector should not give you estimates on repairs. Their
job is solely to find any defects in the property and make sure
you are aware of them. Inspectors are not required to be licensed
in Colorado. I will recommend a couple of inspectors that I've
worked with successfully over time.
The appraisal
The mortgage lender orders a professional appraisal to obtain
an objective evaluation of the property's worth. If the appraised
value is equal to or higher than the purchase price, no problem.
If the appraised value is lower it may threaten the purchase.
The bank may ask that the sellers reduce the price or that the
buyers pay more down to make the deal work.
Loan approval
With the appraisal successfully completed, your pre-approved
loan can now become APPROVED.
The closing
The closing is the last step in the buying process. You pay
for the property and sign all the documents necessary to transfer
ownership of the property to you. They are recorded into the
county records. Actually, here in Pagosa probably the majority
of closings happen by mail rather than in the Title Company
office.
When You're Ready to Buy, I'm ready to guide you with research, analysis, negotiations, and the plethora of paperwork involved in a real estate transaction.
Owning Pagosa - After the Close Congratulations .... you own Pagosa, or at least a piece of
it.
If you are already in town or moving here soon, you can begin
fitting yourself into the community. On request, I'll provide
additional support with lots of information as you settle in.
