Real Estate Information for Home Buyers

STEPS TO REAL ESTATE TRANSACTIONS IN MASSACHUSETTS
LOOKING BEYOND COSMETIC FLAWS
THE RELOCATING SPOUSE
SHOULD YOU MAKE A BACK-UP OFFER

TYPICAL STEPS TO REAL ESTATE TRANSACTIONS IN MASSACHUSETTS

In Massachusetts, a real estate contract must be in writing in order to be valid.

In many states there is only one contract signed prior to closing. However, in Massachusetts there are two: the Offer to Purchase followed by the Purchase and Sales Agreement.

The steps and typical timetable are as follows:
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1. Submit Offer to Purchase, accompanied by a binder (usually $1000 or more)
2. Arrange for your professional home inspections. These inspections are generally conducted within 5 working days from the date a seller has accepted your offer.
3. Select your real estate attorney
4. Apply for your mortgage
5. Approximately 10 to 14 days after the initial agreement is signed, the Purchase and Sales agreement that has been prepared by the attorneys is executed. It is usually accompanied by a deposit of 5% - 10% of the purchase price.
6. Mortgage commitment is received
7. Closing

The above steps most often occur within a 60 day time perio

LOOKING BEYOND COSMETIC FLAWS
Many sellers understand that prospective buyers are more attracted to homes that are spotlessly clean, updated and tastefully decorated. Often, however, sellers are unable to fully update their homes for showing. Homes that aren't newly "done" can be exceptional values, with an inherent "sweat equity potential" factor built in. You're not paying for expensive new interior decorating (much of which leaves with the sellers, anyway).

When a Realtor shows you houses that need work, imagine what they would look like empty, with worn carpets removed, floors refinished, fresh paint and your own furniture in the room. If the home is sound structurally and has updated systems, a small investment of elbow grease and paint could make it look fabulous.

Interestingly, there has been a recent trend where the general buying public pays a significant premium for attractive decor. Please feel free to call us for a complimentary consultation at 781-237-5000.

THE RELOCATING SPOUSE
Much has been written about helping children cope with long distance moves. Often, however, the greatest impact can land on the relocating spouse (usually Mother). Even the children recognized this factor in one of the relevant studies. This impact is generally the result of leaving friends behind and facing the prospect of making new ones. If you have young school age children you are somewhat advantaged socially; meeting other parents through school activities isn't difficult. If not, setting down roots and making new friends can be a challenge. We'd like to share some suggestions which we hope will be helpful.

Thoroughly examine the local newspaper for volunteer opportunities, lectures, special events. Fill up your calendar.
Try something you've always wanted to do - find classes that interest you and sign up.
We can't tell you how many people have told us over the years that the Wellesley Newcomers Group offers an immediate and continuous source of friends. Most towns have similar organizations. Don't hesitate.
Don't wait for the neighbors to come calling - take the initiative and invite neighbors to your home first.
A rich social life can evolve from your place of worship.
Get out every day. You'll feel more at home if you know the area.

SHOULD YOU MAKE A BACK-UP OFFER?
After looking at houses for weeks, you finally find one that is perfect! Unfortunately, your Realtor checks the status to find that it sold just yesterday. Don't lose all hope - your Realtor may suggest you make a back-up offer so that if the prospective Buyer does not go through with the purchase, you will be the next in line. Having a good Realtor could still get you the house of your dreams.

The first rule of being "second in line" is don't get attached to the house and keep looking. There are things that can and may go wrong with the first contract. For example: the prospective buyers may get a terminal case of "buyer's remorse" and back out during the structural contingency period or their financing may not be approved. They may have another house to sell and a limited amount of time to do it. Of course, they do have a strong legal interest in the house and their purchase may go very smoothly. Remember that the backup offer you make gives you a chance, however, remote, of getting the house you love.

One last tip on the subject of buying the dream house for those among you who won't work with a Realtor because you prefer searching by yourself: some of the very best houses NEVER have public open houses and sell before Sunday to buyers working with smart Realtors who are on top of the Multiple Listing Service and constantly searching for their customers and clients. Usually, these are the buyers who find their dream house.

For a complimentary real estate consultation, please email or call us at 781-237-5000.