Purchase
and Sale Agreement
The Purchase and Sale Agreement is a detailed document. Buyers and
Sellers should understand each clause. It is your realtor's job
to help you understand this document.
It is not good practice to waive clauses, especially dealing with
water quality, house inspections, insurance or other clauses relating
to the overall value or accessibility to the property.
When selling a house or property,
we do not recommend that the seller allow the buyer to move
in, move contents or otherwise occupy the property before the
closing date in the event that something goes wrong.
Lawyers
When a property is bought or sold,
it is common practice for each party to be represented by a lawyer.
We always recommend against using the same lawyer as the other
party. It is your right to ask your lawyer if he/she is representing
the other party. Also, before hiring a lawyer, shop around for
the best price. Prices can vary widely between lawyers.
Building
Inspectors
When buying a house, hire a building inspector
and get a report from him/her. The price you will pay for
the inspection is very small compared to the value of your house.
Never be pressured by overzealous realtors who may suggest
you skip the building inspection.
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Viewing
and Pre-Closing Viewing
Never buy a property without
taking a thorough look at what you
are buying. "Site unseen" purchases often end in
disaster. Return to a property as often as you like. This does not commit
you to anything. Take a look at the other properties selling for
the same price. Compare, Compare, Compare. As a buyer, you must
always conduct a pre-closing view with your realtor on closing
day or as close to the closing day as possible. This final viewing
ensures that you are getting exactly what you are paying for. Ask
how long the property has been on the market. This may enhance
your bargaining power.
Property Listing
When listing a property for sale, you are opening your house to
the public and potential buyers. Keep the inside clean and
tidy and keep the grounds looking good. First impressions are very
important, so if the house needs painting, consider it as an investment
in your property.
Mortage Rates
Shop around for the best possible mortgage
for you. All banks are not created equal and today, many people
use the services of independent mortgage specialists to track down the
best mortgage rates. This service is usually free. It is a good
idea to visit your financial institution before making an offer.
This will let you know what you can reasonably afford.
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Deals
If a deal sounds too good to be true, it probably is. Always become
familiar with the area you intend to move into. Check out proximity
to schools, churches, groceries, playgrounds,etc. Check out
the taxes and heating bills.
Conditions
Your offer to purchase a property may contain as many conditions
as you see fit. Common conditions include: proper financing, good
water test results, occupancy date. Conditions may vary widely ;
anything from fixing a pane of glass to replacing a roof. If you are
the seller of a house, make sure that hidden items like flooding
basements, roof leaking, insulation... are declared.
Market Timing
When selling your house, be patient. As you
no doubt are aware, some houses sell in a couple of days. Im small
towns or rural areas, some houses sit on the market for months, even
years. Be patient and make sure your realtor hasn't overpriced your
property.
Insurance
Insurance company guidelines have changed
in recent years. Roofs, oil tanks , furnaces, fire places,
flues, wood stoves and electrical systems are favorite items for
insurance companies to pay close attention. Remember, what was up
to code 10 years ago may not be now.
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