2022 Buyer Guide - Mary Lee Real Estate

Home Buying Guide

Finding Your Dream Home Presented by Mary Lee & Associates

WELCOME! At Mary Lee & Associates, we believe success is not just measured in the buying and selling of real estate, but in providing extraordinary service to our clients and to provide you with an exceptional experience resulting in a mutually beneficial relationship. Our team is highly regarded in the real estate industry for commitment to client advocacy, professionalism and decades of experience. You want to find the right home at the right price and we want that for you, too.

Purchasing a home is a great investment that can deliver several financial benefits like equity build-up and value appreciation, and don’t forget the pride that comes with owning your own home. A home purchase is likely the largest investment most people will make in their lifetime, and we would be honored to be a part of that journey with you.

We’ve published this guide to help you through the basics of the home buying process, including descriptions of common terms and a checklist of discussion items as you begin your journey.

Mary Lee Mary Lee, Owner & CEO Mary Lee & Associates Keller Williams Luxury International

Meet Mary Mary Lee & Associates is a team of real estate professionals in the Puget Sound Area that are dedicated to providing a high level of service to our clients in order to create a rewarding real estate experience. Our team approach benefits our clients by bringing a wide range of knowledge and experience to each situation. Our vast backgrounds and competency, coupled with our enthusiasm and humor, always keeps our clients smiling!

As members of Keller Williams Luxury International, we are part of the largest and fastest growing real estate company, with over 900 offices in 51 countries and over 190,000 sales associates world-wide. Keller Williams has placed itself at the forefront of technology, training, and culture, and is committed to having a positive impact on the people and communities we serve.

Mary Lee REALTOR Luxury & View Home Specialist M: 425.941.4229 E: mary@maryleerealestate.com

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Member, Keller Williams Luxury International Member, Institute for Luxury Home Marketing Member, LuxuryHomes.com Master Certified Negotiation Expert (MCNE) Seniors Real Estate Specialist (SRES™) Accredited Seller Representative (ASR) Certified Luxury Home Marketing Specialist® (CLHMS) Top 1% of Keller Williams Agents Top 100 Most Influential Real Estate Executives in Washington Multi-Year Winner of Seattle Magazine Five Star Real Estate Professional

Mary has been a licensed Realtor® since 1987 and has since become a prominent agent on the Eastside. In 2004, Mary created The Ultimate Home Selling Success System™, an exclusive results-oriented system that creates the best home selling experience and results for sellers. As a result, Mary has not sold a home with an Inspection Contingency since 2005 eliminating a second round of price negotiations and/or repair requests with the buyer.

Through Mary’s innovative marketing and proven negotiation skills and strategies, her sellers enjoy a smooth home selling experience without the normal buyer contingencies.

This innovative process creates a faster sale, higher sales price and typically with multiple offers, giving sellers their choice of buyers, price and terms.

Meet the Team Curtis Smith Listing & Marketing Coordinator E: curtis@maryleerealestate.com

Curtis joins Mary Lee with over a decade of experience in Business and Real Estate. With two degrees in Organizational Leadership and Development as well as Psychology, he is also actively pursuing a third degree in Interior Design.

Lastly, he is a Certified Residential Space Planner (CRSP). Curtis is also part of Keller Williams Luxury International, Keller Williams Young Professionals, and Keller Williams Admins Network.

Curtis works closely with Mary for listing launch day as well as ongoing marketing strategies for the team. He assists her with gathering listing information as well as designing custom marketing materials for each of our clients.

Katie Razzaq Transaction Coordinator M: 253.468.8210 E: katie@closerprosllc.com

From a young age, Katie has loved helping others.

Katie is very excited to utilize her love for paperwork, organization, and timelines to help other agents A real estate transaction involves a team of experts behind the scenes ensuring that all the paperwork is done correctly and meets the various deadlines.

While Mary is the client’s main point of contact, Katie manages the process behind the scenes to create a stress-free transaction for every client.

“Commitment

Our Real Estate Team is committed to carefully blending integrity, knowledge and experience to provide the finest service available.

The Home Buying Process

Find An Agent

Meet with prospective real estate agents to discuss the type of home you are looking for including style, price and location.

Choose us!

We will go on line together at either in person or via Zoom to do an extensive MLS home search to confirm your needs and help you understand the market.

You will have a “VIP Buyer” home search set up in our system to automatically email you each week with any new listings that come on the market that fit your criteria.

Get Pre– Approval

Choose your lender wisely and don’t be afraid to shop around.

Our market moves fast and local sellers want guarantees. You will need to be preapproved for a loan prior to making an offer on a home. This means you will have gone through the first level of underwriting with your lender, not just filled out the application.

Once you have preapproval, your budget will be established and your home search can begin!

Go Shopping

You will receive weekly emails with new homes on the market in the areas you desire and within the criteria you establish.

You will have access to a app for your phone that is connected directly to our NWMLS for you to search on your own and message you agent with any homes that interest you.

You will have viewing access to the homes you would like further information on through photos, 3D tours and videos. If there is a home you love, we will make an exclusive appointment to view the home in person.

Offer To Purchase

Negotiation & Contract

Earnest Money

Once you find the home you would like to own, we will prepare a Purchase & Sale Agreement.

The seller may accept your offer as presented or counter your offer with a few changes.

Earnest Money is your “Good Faith’ deposit that will be due within two working days of mutual acceptance.

Together, we will review each document with you so you are comfortable and have a clear understanding of the Agreement.

All documents are compiled along with the pre-approval letter from your lender and a personalized letter from you to the Seller and an introduction email for the Listing Agent introducing you and showcasing the strength of your offer.

If there is a counteroffer you will have the option to accept, reject or counter the new terms.

It may take a few times to get is just right, so hang in there! We will guide you through the process every step of the way.

Once you have reached mutual acceptance, we will establish a calendar to meet all deadlines established for a smooth transaction.

This money will be held in an escrow account by the closing agent and applied to your funds due upon closing. You will receive a receipt for these funds.

The Home Buying Process continued...

Home Inspection

We will attend the inspection on your behalf.

Once the inspection report is received, we will schedule a time to review the inspection report, answer any questions you may have and/or schedule any additional inspections you may require.

If repairs are needed we will draft an Inspection Notice and Repair Addendum to negotiate any work you would like to have completed prior to close or a credit in lieu of repairs, and then coordinate with the Listing Agent.

Finance & Appraisal

Your lender will be involved throughout the entire escrow process through closing.

They may require additional information from you to finalize the loan, so be prepared to update paperwork for the underwriter and stay timely on your delivery to keep to your contract deadlines and closing date.

We will coordinate the appraisal visit with your lender and the Listing Agent.

Your lender will let you know the outcome once the appraisal is finalized.

Home Insurance

Homeowners Insurance will be required by your lender prior to finalizing the loan.

You have many options out there, but our advice is to first contact the company you use for your car insurance.

Most insurance companies offer packages and reduced rates if you combine multiple policies.

If you need a referral to an insurance broker, we have a few to offer you.

Utilities

The utility information for your new home is provided by the seller and is part of the Purchase & Sale Agreement.

You will need to contact the service providers (power, garbage, cable/ internet, water, sewer) and establish your accounts. Your start date will be the day of closing.

Final WalkThrough

Approximately one week prior to closing, you will have access to your new home as a final walk-through.

This will be your opportunity to take pictures, measure spaces and plan your move-in.

It will also be the time when we can double check that the seller has fulfilled all their required actions for their contractual obligations prior to closing.

Closing

You will be contacted by the escrow agent and schedule your signing appointment.

This will happen 1-3 days prior to the closing date.

This is the meeting where you sign all ownership documents and bring the funds required to close. This can be done via wire transfer or cashier’s check.

On the day of closing, the escrow agent will release all documents to be recoded for the sale. Once we receive recording numbers…

THE HOUSE IS YOURS and we will exchange keys.

Our Services Buying real estate can be one of the most exciting events in your life. At times, it can also be overwhelming and intimidating. That’s why we are here. We are by your side every step of the way, keeping your best interests in mind and making the process as trouble-free as possible. We will:

• Explain and prepare all paperwork necessary to make a complete and compelling offer on your dream home.

• Contribute our vast knowledge of real estate practices in the area, the circumstances of this particular home and the parties involved to help prepare an offer that meets your needs and puts you in the most favorable position for your desired outcome.

• Explain any counteroffers in detail and discuss all the options with you.

• Negotiate for you and represent your best interest at all times.

• Review all property information including property disclosures and preliminary title reports with you and explain the significance of any items noted.

• Keep you posted on the progress of your transaction at each specific stage.

• Schedule inspections and be on-site for any concerns or questions that the inspector may have.

• Communicate with your lender and the appraiser on a regular basis; providing them the contract details, informing them of deadlines, and providing access to the property as needed.

• Make sure you have the right paperwork, remind you of important dates and help you satisfy and/or track progress of all contract contingencies.

• Be your source for real estate information beyond the purchase of your home.

Understanding

We believe clients have a right to honest and forthright information in a manner they can understand.

Our Pledge We will serve you and protect your interests while we help you purchase the home of your dreams at the best possible price available.

• You can expect loyalty and confidentiality.

• We will promote your best interests and provide you with all available facts that could influence your decision about making an offer for a home.

• We will provide a Comparable Market Analysis if desired to verify the value of the property, and help you formulate a realistic offer and a negotiating strategy.

• We will give you the “what if” scenarios about the clauses in a contract. If appropriate, we will recommend additional contract contingencies to protect your interests.

• We will show you all homes on the market that fit your needs.

• We will point out all the positive AND negative features of a home to help you make an informed decision, with an eye for future resale.

• We will honor your comfort level and not try to steer you into a more expensive home, or a home that may not suit your needs.

• We will be a resource for you in the process of selecting a mortgage consultant.

• You can depend on us to arrange and manage the day-to-day tasks required to get to closing (such as inspections, helping you find a lender, tracking the progress of the loan, and working with the escrow officer).

Our Pledge to you

There is no simple way to gain your confidence , we must earn it .

S u p p o rt S y s t e m Our network of real estate service suppliers is at your disposal. We have taken the time to meet, work with and vet the best of the best to help you through the buying process. Our network of business professionals are available to you now and in the future, for all your real estate needs.

Lenders & Bankers

Repairs & Remodeling

Insurance Brokers

Roofers

Home Inspectors

Septic & Sewer

Professional Cleaning

Storage

Moving Services

Process Checklist ○ Discuss the current real estate market ○ Talk about wants and needs ○ Sales associate guidelines and expectations ○ Buyer Representation & Agency Disclosure ○ Buyer expectations ○ Pre-Approval versus Pre-Qualification benefits

○ Home buying process Preview

homes for sale Finding a home Offers Earnest money Counteroffers Title insurance Appraisal Closing Moving Day

○ Property Disclosure Statement ○ Inspections—general versus specific ○ Hazardous materials concerns Asbestos Lead-based

paint

Mold Underground

oil tanks

Buyer’s Terms Earnest Money The amount you agree to deposit with Escrow as your ‘Good Faith’ in moving forward with the purchase (typically 3% to 5%).

Loan amount The amount of the mortgage based on the purchase price, minus the down payment.

Down payment Cash that the buyer provides the lender as their portion of the purchase price. The down payment is considered the buyer's equity (or cash investment) in their home.

Points Fees charged by the lender to offset their interest rate (if it's below the prevailing market rate). One point equals one percentage point—so one point on a $100,000 loan would be $1,000.

Appraisal fee The amount paid for the lender's appraisal of the property.

Credit report fee The fee charged by the lender to obtain a credit report on the buyer.

Title insurance fee A one-time premium that a buyer pays for protection against loss or damage in the event of an incorrect search of public records or misinterpretation of title. The title insurance policy also shows what the property is subject to in terms of liens, taxes, encumbrances, deed restrictions and easements.

Escrow fee The amount a buyer pays the Escrow company or closing agent for preparing papers, accounting for all funds and coordinating the information between all parties involved in the transaction.

Closing costs A general term for all the estimated charges associated with the transfer of ownership of the property.

Prepaid Interest The amount of interest due on the loan during the time period between the closing of escrow and the first mortgage payment, due at the time of closing.

PITI The estimated house payment, including principal, interest, taxes and insurance.

Principal and interest The loan payment, consisting of the principle amount to be applied against the balance of the loan, and the interest payment, which is charged for interest on the loan.

Total cash required The total amount of cash the buyer will need, including down payment and closing costs.

Private mortgage insurance (PMI) Required by the lender for loans with less than 20% down payment. This covers potential losses if the borrower defaults on the loan. Many lenders have loan options to eliminate PMI (including doing a second mortgage so you have 20% down).

Notes

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425-941-4229 mary@maryleerealestate.com www.maryleerealestate.com

505 106th Avenue NE Suite 210 Bellevue, WA 98004