Step 2: Find an Agent

Finding a Local Agent that fits your needs and has your values. Speak to 2-3 agents. Do some research. Don’t pick the first agent you speak to. Find an agent that has the heart of a teacher, and someone that will ask you questions and listen to what you’re looking for. Top agents will often have market updates and can let you know what’s going on in the market you’re looking in. The best agents are also very knowledgable about the inventory in the market. They also have access to off-market listings that haven’t hit the market yet. The best houses and the best deals are often gone before they hit the market.

Step 3: Search for Homes

Once you’re pre-qualified with your lender (if obtaining a loan) and have selected an agent, you can begin your search! Call your agent and tell them what you’re looking for. If you’re not totally sure, check out our Big Bear Areas page to do some research, or ask your agent what they recommend. Your agent will send you around 5-10 properties to take a look at. Giving feedback to your agent about what you like and what you don’t like is key. Search properties for yourself as well, and let your agent know what you’re liking. Remember, a good agent often has 10 properties in mind that aren’t even on the market yet - and one of those could be the one.

There are several resources available to you to find your home. Fortunately, most homes are on the internet and can be found through the MLS (Multiple Listing Service) and through websites that they are fed through. Feel free to contact us for some great options, or even search here for your perfect home.

Step 4: Negotiating an Offer

The offer process can be one of the best and most thrilling parts of the transaction. There is a lot of excitement, negotiation, and suspense involved. Some things you will need to think about when making an offer are:

·       Purchase Price

·       Length of Escrow and Contingency Periods

·       Ernest Money Deposit (the initial deposit - often 1-3% of the purchase price)

·       Who pays for what (closing costs, warranty, inspections, fees, taxes, transfer fees, etc.)

·       What’s included (furnishings, decor, etc.)

This is a lot to think about, and your local agent will be able to explain market trends and norms to help you negotiate the best deal possible while also receiving a reasonable response.

The seller will respond with either acceptance of the original offer or a counter offer. A counter offer is more likely. Don’t be dismayed that the original offer isn’t accepted outright - it’s very rare that this happens. If you get a response it is likely that you are very close to opening escrow!

Step 5: Escrow

Welcome to Escrow!

Escrow is the third party company that holds everything from both sides (the buyer and seller) involved in the offer. For example, escrow holds the earnest money deposit given from the buyer to the seller until the sale closes, at which time escrow moves that earnest money into the down payment. It’s a complicated process, but here’s a condensed look at what happens during escrow:

• Paperwork

• Earnest Money and Down Payment Holding

• Withholdings Calculations

• Title Transfer

• Warranty Acquisition

• All Commissions Paid

• Much More

Escrow does a lot of the footwork and takes care of a lot of the technical aspects of the deal, and there is a lot more that goes on between the buyer and seller during this time. Some of the buyer’s responsibilities are:

• Submitting the earnest money deposit

  • Always keep in mind that fraud is on the rise. When you get wire transfer instructions from escrow, don’t assume that they are legitimate. Contact escrow to verify that they sent the instructions before making any payment. A lot of people are involved in your transaction, but the only party that should be asking for a wire of any kind is the escrow company. Earnest money deposits are due based upon the Residential Purchase Agreement (offer), but is almost always within 3 days of acceptance.

• Investigations

  • You, as the buyer, are able to get inspections done on pretty much anything in the house in order to see what you’re getting into! Keep in mind that the reports that the inspectors generate are not a list of items for the seller to fix. These reports are for you to know exactly what is wrong with the house, and understand the potential costs and damage. All investigations are due. based on your agreed upon offer documents. The standard timeline to get investigations done is 17 days, but you will want to try to do this within the first week or so in case you want to send a repair request.

• Disclosure Review