New Jersey Buying Process
10 STEPS OF BUYING A HOME IN NEW JERSEY WITH COLDWELL
BANKER
Buying a home in any state can be overwhelming, especially
without any guidance from a professional Coldwell Banker Sales Associate.
To provide some guidance and make the process easier, provided below are10
systematic steps to purchasing a home in New Jersey.
STEP 1: THE DECISION TO BUY
Whether you are a first-time homebuyer or entering the marketplace as a repeat
buyer, you need to ask why you want to buy. Are you planning to move to a
new community due to a lifestyle change or is buying an option and not a requirement?
What would you like in terms of real estate that you do not now have? Do you
have a purchasing timeframe?
Whatever your answers, the more you know about the real estate marketplace,
the more likely you are to effectively define your goals. As an interesting
exercise, it can be worthwhile to look at the questions above and to then
discuss them in detail when meeting with your local Coldwell Banker Sales
Associate. Who do I work with? The best place to find a local, professional
Coldwell Banker Sales Associate is through this web site… review Finding an
Office and Sales Associate. By choosing a Coldwell Banker Sales Associate,
you will find a professionally trained, experienced individual who will offer
you representation and full service. The Coldwell Banker Sales Associate you
select will discuss with you: agency, buyer agency, seller agency and disclosed
dual agency.
STEP 2: THE MORTGAGE PRE-APPROVAL
In New Jersey the demand for housing is high. It is highly recommended that
buyers be "Pre-Approved" by Coldwell Banker Mortgage prior to starting the
home search process. Although the pre-approval is not a final loan commitment,
the pre-approval letter can be shown to listing brokers when bidding on a
home. It demonstrates your financial strength and shows that you have the
ability to proceed with a purchase. This information is important to owners
since they do not want to accept an offer that is likely to fail because financing
cannot be obtained. For more information on affordability, go to our Mortgage
Services link within this web site.
STEP 3: PREVIEW HOMES FOR SALE
Ask your Coldwell Banker Sales Associate about our home finding tools including
The Best Buyer Guidebook, Home Finding Needs Worksheet and Home Finding Evaluation
Sheet to assist with the process of looking for and finding a home. Your Coldwell
Banker Sales Associate can provide detailed information on almost any property
currently listed for sale, whether it is listed by a Coldwell Banker Affiliate
or another real estate company.
If you see a "For Sale" sign or an ad in the newspaper on a property that
interests you, we have access to data on all properties. Your Coldwell Banker
Sales Associate can provide you with all the details including the price,
description, special features, and the financing terms.
Your Coldwell Banker Sales Associate is already familiar with your housing
and financial needs, so there is no reason to go through the process again
with someone else. This will save you time and take the hassle out of house
hunting… and, it won't cost you a penny more!
STEP 4: HOME SELECTED - PLAN THE APPROACH
Negotiating the purchase agreement is part of every transaction. Preparation
lets you negotiate the best price and terms obtainable. Your Coldwell Banker
Sales Associate's experience will help you in developing negotiating strategies
and techniques to plan the approach to be taken.
STEP 5: MAKE THE OFFER
You have previewed quite a few homes. Now, you have found one that meets your
needs and you are ready to make an offer! The process varies around the country.
In a typical situation in New Jersey, you will complete an offer that your
Coldwell Banker Sales Associate will present to the owner and /or owner's
representative. You will be expected to submit a check, usually $1,000 as
earnest money at this time. The owner, in turn, may accept, reject, or make
a counter-offer. Because counter-offers are common (any change in an offer
can be considered a counter-offer) it is important for buyers to remain in
close contact with your Coldwell Banker Sales Associate during the negotiation
process so that any proposed changes can be reviewed quickly. Your purchase
offer should be carefully prepared and presented by your Coldwell Banker Buyer's
Agent.
STEP 6: OFFER ACCEPTANCE - ATTORNEY REVIEW COMMENCES
In New Jersey, although not mandatory, it is a prudent, typical practice to
hire an attorney for the closing of real estate. An accepted buyer offer leads
to a legally binding purchase contract. The contract is a signed agreement
between the seller and the buyer. Attorney review in the state of New Jersey
is considered three business days, but can be extended. During the three-day
attorney review, either party can cancel the contract.
STEP 7: HOME INSPECTIONS ORDERD - PERFORMED
As a buyer in New Jersey, you are responsible for hiring and paying for a
home inspector. The home inspection should be ordered within 10 days of the
contract being signed. A number of inspections are common in New Jersey residential
realty transactions. They include inspection for termites, wood-boring insects,
a radon inspection, mechanical and structural inspection. Attorneys order
the title insurance, survey and record the deed. During these examinations,
an inspector comes to the property to determine if there are material physical
defects and whether expensive repairs and replacements are likely to be required
in the next few years. Such inspections for a single-family home often require
two or three hours, and buyers should attend. This is an opportunity to examine
the property's mechanics and structure, ask questions and learn far more about
the property than is possible with an informal walk-through.
Any home inspection issues should be addressed immediately after inspection
results are received.
STEP 8: MORTGAGE COMMITMENT - SECOND DEPOSIT - ATTORNEY
ORDERS TITLE WORK, SURVEY, ETC.
At this time in the process, you as a buyer have already been pre-approved
for a loan and the final mortgage commitment is being awaited. Typically,
this process can take up to 30 to 45 days before a final written mortgage
commitment is received. Whatever time frame is specified in the contract of
sale, normally after 10 business days, the balance of usual 10% deposit is
due. Your attorney will also start the process of ordering the survey, and
title work.
STEP 9: THE WALK -THROUGH - THE CLOSING
Coordinated through your Coldwell Banker Buyer's Agent, the walk-through inspection
is performed the day of the closing. The walk-through of the home you're about
to close on lets you re-confirm the condition of the home before the closing
takes place.
What to expect: Settlement is a brief process where the necessary paperwork
needed to complete the transaction is signed. Closing in New Jersey is typically
held at the buyer's attorney's office, sometimes with both buyer and seller
at the same table, sometimes with each party completing their paperwork separately.
The buyer traditionally arrives 45 minutes earlier to handle the mortgage
paperwork. Title to the property is transferred from seller to buyer. The
buyer receives the keys and the seller receives payment for the home. From
the amount credited to the seller, the closing agent subtracts money to pay
off the existing mortgage and other transaction costs. Deeds, loan papers,
and other documents are prepared, signed and filed with local property record
offices. Please see Buyers Estimated Closing Costs within this web site.
STEP 10: THE MOVE - CONCIERGE™ SERVICES
Moving can be overwhelming, however, our Concierge™ Service can help
you find a moving company, obtain home insurance, find a painter, a nursery
school or a dog walker. E-mail or call the Coldwell Banker Concierge™
Service at your convenience.
