|MARCH 2021 | WHAT’S IN THIS ISSUE?
» 5 common contingencies when buying a home
|5 common contingencies when buying a home
It’s vital to understand the terms “earnest money” and “contingencies” when house hunting. Earnest money is paid up-front as a show of good faith when you make an offer on a home. It is held by an escrow company until the sale is finalized or falls through. A contingency is a condition added to a purchase offer. If that condition isn’t met, the buyer keeps their earnest money if they walk away.
Here are the five most common contingencies used by homebuyers.
|All about comps: How to find and use comparable listings
To assess your home’s value, you must understand comps. Comps refers to comparable listings, which are similar properties that have sold recently. While a Realtor can help you find comps, you can also do it yourself. All it requires is a critical eye and a little virtual legwork.
Start your search by looking through nearby recently sold listings on real estate sites. Do not include for-sale listings, as their final price hasn’t been determined.
Narrow your search by location. First, comps should be in the same neighborhood. Second, they should be similarly situated in that neighborhood. Consider divisions like railroads as well as proximity to perks, like waterfront access. Comps should be on the same side of dividing features, and a similar distance from perks.
Filter by details including date sold, price, square footage, and number of bedrooms and bathrooms. You’re looking for listings that match as close as possible. Once you’ve identified some candidates, take a look at the listing photos, if available. Construction quality, appliances and renovations are some of the similarities to focus on.
Take the three closest comps you found during your search. The median price will give you a solid idea of your home’s market value, plus or minus its unique features.
|The buzz on spring house pests
How to identify four common spring house pests:
Life @ Home eNewsletter: March 2021 for Buyers
Written by Bob Patel on . Posted in General Real Estate, Residential Real Estate
Tags: 21st century, appraisals, CENTURY 21, contingencies, financing, find the right home, home sale, inspection, life @ home, local real estate agent, local realtor, real estate agent, start your home search, title
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