Service Providers When Buying a Home!

Real Estate Buyers Tip 12...

You and the Seller Must Agree

Buying a home does not occur in a vacuum, involving only you and the seller. There are all kinds of people and services involved behind the scenes to make it happen. Since some of these services affect both you and the seller, there will have to be be agreement on which companies you will use for them. When you make your offer, you should request your favorites for these services. If you are unfamiliar with these service providers, you can get recommendations from your agent.

Escrow and Settlement

For example, you are going to need an escrow or settlement company to act as an "independent third party" between you and the seller. Without having a third party involved, how do you know that when you fork over the money, you are going to get the deed? This is the type of service provided by escrow and settlement. They will hold your deposit and coordinate much of the activity that goes on during the escrow period.

Since this third party is very important to both you and the seller and either of you will pay fees to this company, it is important to agree on which service to use. Therefore, your choice should be part of the offer. Since you do not buy a home every other week or so, you are probably unfamiliar with companies that provide this service. Your agent will make a recommendation. You have the authority to accept this recommendation and include it in your offer, or make your own choice.

Keep in mind that the seller will also have a preference and this may be a point of negotiation in a counter-offer.  In the State of Queensland the deposit money is usually paid into the selling agent's government regulated general Trust Account.  The deposit holder must immediately issue a trust account receipt and sign the contract as having received the deposit.

Building Termite and Pest Inspections

As part of your offer, you may require a building, termite and pest inspection. These companies not only inspects for termite damage and pest infestations, but also inspects for dry rot and water damage, among other things. The company that performs the inspection is important to you as a buyer, because you want to be sure they do a good job. It is customary that the person who requests the inspection pays for it.

You should determine which company or companies you want to perform this inspection and make it a part of your offer. Otherwise the seller may choose. If you do not know which company to hire, your agent can provide you a list of companies that provide this type of service..
 

Next:  Tip 13... Buying A Home With Resale Value