Agency... What is it? It's your relationship with your Realtor®
Although you are working with a real estate agent, he or she does not work on your behalf as your legal agent until you give him or her the authorization to act on your behalf. This relationship may be established through either an oral or written agreement to have the agent act as your representative.
There are different types of agency. A listing broker works as an exclusive agent for the seller, providing assistance and counseling to help the seller get the best price for the seller´s property. A buyer´s agent works as an exclusive agent of the buyer, representing the buyer´s best interest in the transaction, locating suitable properties, and providing advice on market value. In each case, the Realtor® has a fiduciary responsibility to his or her client. The only difference is that one client is a seller, and the other is a buyer.
A dual agent functions as a representative for both the buyer and the seller at the same time, in the transaction. The agent, in this case, has the responsibility to remain neutral in the transaction, and must respect the confidentiality of information both from the seller and from the buyer. This is a legal agency relationship, provided the situation is disclosed to both parties, and both parties consent to the arrangement.
How Your Property Tax is Figured
Few homeowners have any idea how the property taxes on their homes are computed. It´s a confusing process but one that directly affects your pocketbook. In Arizona, there are actually two separate but similar real estate taxes. Both are based on a property value for tax purposes multiplied by the assessment ratio and then by the tax rate.
An escrow is an independent third party account and is the means by which the interests of all parties to a transaction are protected. The escrow is created after the contract for the sale of the home is executed. The escrow becomes the depository for monies, documents and instructions that pertain to the sale of a home. Title insurance is a contract of indemnity that guarantees against the defects in title. Click here for more information on title and escrow. Top
Financing Your Home
The Fixed Rate Mortgage -is a traditional method of financing a home. The interest rate stays the same for the entire term of the loan - usually 15 or 30 years - so the interest and principal portions of your monthly payment remain the same. Your payments are stable and predictable, but initial interest rates tend to be higher on a fixed-rate mortgage than on adjustable-rate loans. Many fixed-rate mortgages cannot be assumed by a subsequent buyer.
Home Inspections and Due Diligence
Information you will receive about a house from the Seller will include what is on this sample Seller Property Disclosure Statement. In addition, the Arizona Department of Real Estate has issued aBuyer Advisory. Here are a few more links that may be helpful to you:
Pima County Assessor
Tucson Police Dept. Crime Statistics
Pima County Crime Statistics Top
Additional Information for Buying Your Home
Moving into Your Tucson Home - many links available for all that you need to do to get settled in your new home
Moving Checklist - this will help you get and stay organized for a smooth move!
Sample Residential Sales Contract
Tips for Buyers
Frequently Asked Questions about Financing
Q: How long does it take to process a loan application?
A: Usually about 45 to 60 days, although it can take as few as 30 days and as long as 90 days for some transactions. The actual time depends on how quickly the lender can get an appraisal of the property, a credit report and verification of employment and bank accounts.
Q: What documents will I have to provide?
A: Be prepared to provide verification of income (including) a pay stub and recent tax returns), bank account numbers and details on your long-term debt (credit cards, auto loans, child support, etc.). If you´re self-employed you may also be required to provide financial statements for your business. In recent years, lenders have been required to obtain more specific information from borrowers in order to package and sell loans to investors. If you were lending someone such a large amount of money, you´d want detailed financial information.
Q: Could anything delay the approval of my loan?
A: If you provide the lender with complete, accurate information, everything should go smoothly. You may face a delay if the lender discovers credit problems-a history of late payments or nonpayment of debts, or a tax lien. You may then be required to submit additional written explanations or clarifications. You should also be sure to notify your lender if your personal or financial status changes between the time you submit an application and the time it´s funded. If you change jobs, get an increase (or decrease) in salary, incur additional debt or change your marital status, let the lender know promptly.
Q: What do closing costs include?
A: Closing costs cover the processing and administration of your loan and an appraisal of the home. You´ll usually be asked to also prepay interest charges, to cover the partial month in which you close, and impounds for property taxes, hazard insurance and mortgage insurance.
Q: When do my payments start?
A: Usually about 30 days after closing. The actual date of your first payment will be included in your closing document.
Q: What is included in my payment?
A: Principal and interest on your loan. Depending on the terms of your loan, the payment also may include hazard insurance, mortgage insurance and property taxes.
Q: Can I pay insurance and taxes separately?
A: Not if it´s an FHA-insured or VA loan. With most other loans, you can pay your own taxes and insurance if you borrowed no more than 80 percent of the purchase price or appraised value of your home. Check with your lender to be sure.