Are you interested in buying a home?  If you answered "yes", you will first want to undertand the guidelines as set forth by the U.S. Department of Housing and Urban Development (better know as "HUD").  You will begin by educating yourself in the following areas:

• Figure out how much you can afford - It is very important to first figure out how much you can afford to pay on a monthly mortgage payment.  There is a great tool that calculates this for you on this site.  However, your lender will assist you with this as well. 
• Know your rights - Fair Housing laws, RESPA and how it relates to you and "predatory" lending are all covered in this area.
• Shop for a loan - The best way to find a good lender is to get a personal reference from a satisfied cusotmer and someone you know (i.e. familiy and friends) or from your trusted Realtor.
• Learn about homebuying programs - There are programs that are only good for particular situations or in specific states.  There is also the newly passed $8000 tax credit which is available to qualified homebuyers.  Again, your lender will also assist you with finding the right program for you.
• Shop for a home - Your Realtor will guide you through this process and assist you in locating the property that meets your specific criteria.
• Make an offer - You Realtor has access to all of the N.C./S.C. Bar Association forms required to submit an offer on a home.
• Get a home inspection - Your Realtor will most likely have established relationships with qualified reputable home inspectors and will assist you with scheduling the home inspection.  A friend or family member may also have a recommendation for a home inspector they have recently worked with and were satisfied with the interaction.
• Shop for homeowner's insurance - Again, referrals are the best answer again.  A satisfied customer is going to be your best resource for finding a good service provider.
• Sign the papers - This will take place an an attorney's office.  Your Realtor will most likely have a good working relationship with one or more Real Estate Attorneys to help you finalize your home purchase.

To visit the "HUD" website now, click here. 

Finding the right "Buyer's Agent" (Realtor®) to help you can be one of the most important steps you take in your homebuying process.  The agent you choose to assist you should, first and foremost, be a Realtor®.  You are probably wondering now what is the difference between a Realtor® and a "Real Estate Agent?"  What makes a real estate agent a Realtor® is: 

• A Real Estate Agent is a Realtor® when they become a member of the "National Association of Realtors®. By joining this professional organization, they agree to abide by its strict Code of Ethics.  This Code establishes time-honored principles that come from the collective experiences of Realtors® since the Code of Ethics was first established in 1913.  These principles can be defined as:

- Loyalty to clients;
- Fiduciary (legal) duty to clients;
- Cooperation with competitors;
- Truthfulness in statements and advertising; and non-interference in exclusive relationships that other Realtors® have with their clients. 

Why Use a Realtor®? (NAR)

1. Your REALTOR® can help you determine your buying power -- that is, your financial reserves plus your borrowing capacity. If you give a REALTOR® some basic information about your available savings, income and current debt, he or she can refer you to lenders best qualified to help you. Most lenders -- banks and mortgage companies -- offer limited choices.

2. Your REALTOR® has many resources to assist you in your home search. Sometimes the property you are seeking is available but not actively advertised in the market, and it will take some investigation by your agent to find all available properties.

3. Your REALTOR® can assist you in the selection process by providing objective information about each property. Agents who are REALTORS® have access to a variety of informational resources. REALTORS® can provide local community information on utilities, zoning. schools, etc. There are two things you'll want to know. First, will the property provide the environment I want for a home or investment? Second, will the property have resale value when I am ready to sell?

4. Your REALTOR® can help you negotiate. There are myriad negotiating factors, including but not limited to price, financing, terms, date of possession and often the inclusion or exclusion of repairs and furnishings or equipment. The purchase agreement should provide a period of time for you to complete appropriate inspections and investigations of the property before you are bound to complete the purchase. Your agent can advise you as to which investigations and inspections are recommended or required.

5. Your REALTOR® provides due diligence during the evaluation of the property. Depending on the area and property, this could include inspections for termites, dry rot, asbestos, faulty structure, roof condition, septic tank and well tests, just to name a few. Your REALTOR® can assist you in finding qualified responsible professionals to do most of these investigations and provide you with written reports. You will also want to see a preliminary report on the title of the property. Title indicates ownership of property and can be mired in confusing status of past owners or rights of access. The title to most properties will have some limitations; for example, easements (access rights) for utilities. Your REALTOR®, title company or attorney can help you resolve issues that might cause problems at a later date.

6. Your REALTOR® can help you in understanding different financing options and in identifying qualified lenders.

7. Your REALTOR® can guide you through the closing process and make sure everything flows together smoothly.

 

How To Evaluate An Agent (Move, Inc.)

In making your decision to choose and work with an agent, there are certain questions you should ask when evaluating a potential agent. The first question you should ask is whether the agent is a REALTOR® . You should then ask:

• Does the agent have an active real estate license in good standing? To find this information, you can check with your state’s governing agency.

• Does the agent belong to the Multiple Listing Service (MLS) and/or a reliable online home buyer’s search service? Multiple Listing Services are cooperative information networks of REALTORS® that provide descriptions of most of the houses for sale in a particular region.

• Is real estate their full-time career?

• What real estate designations does the agent hold?

• Which party is he or she representing--you or the seller? This discussion is supposed to occur early on, at "first serious contact" with you. The agent should discuss your state's particular definitions of agency, so you'll know where you stand.

•  In exchange for your commitment, how will the agent help you accomplish your goals? Show you homes that meet your requirements and provide you with a list of the properties he or she is showing you?