WPF Home Buying Help

Concocted of the ideal mix of tasty food, good music, and interesting people, parties are one of the best ways to break the ice with new neighbors. A new move is the perfect opportunity for a housewarming party and your chance to mingle in an easygoing atmosphere; after all, who doesn’t like free food and drinks? Keep it simple: just a few snacks and perhaps some wine, and you’ll be good to go. Throwing a party will also be a good reason to door knock— for personal invite— meaning a reason to boldly approach them with a cause other than the typical “may I borrow a cup of sugar” move— not that there’s anything wrong with opening using the “cup of sugar” request.

Being the new guy/gal in the neighborhood is tough these days: Contrary to the picturesque Pleasantville neighbors we’d like to imagine meeting, most people today tend to be private and cautious about who they open up to, thus making it difficult to make a meet and greet happen. Break the ice by making the first move, and go with the old-fashioned door knock technique— ring your neighbor’s bell and introduce yourself and your family as the newest members of the neighborhood. Not only will it give you a chance to see who’s living in the house next to yours, but it’ll also pacify the curiosity that they’re sure to have about you!

For those of you who’d like to save some money on painting, you can do the job yourself! Just recruit the help of family and friends. So here you go— the 10 basics of painting a room, from one amateur to another : )

  1.    Go to your local home improvement store for some paint. Confused about the color? They usually have an in-house design specialist that can help you out with any questions.

2.    Remove any furniture or other belongings that you don’t want paint getting on— cover anything else that can’t be moved.

3.    Remove mold from the walls using a bleach and water mixture (50/50). Scrub, scrub, scrub.

4.    Sand down the walls so you have a smooth canvas to work with.

5.    Fill all those unwanted holes.

6.    Use masking take to cover anything on the wall that you don’t want painted.

7.    For dark walls, use primer to ensure that you get the color you want. Skip this if you buy one of those primer-and-paint combinations.

8.    Use an angled brush to carefully paint corners, molding, and edges.

9.    Use a roller to paint the rest of the wall.

10. Paint the trim.

Last week we focused on the administrative tasks you should manage once you’re all moved into your new home. This week, we get to fun stuff: personalizing your living space.

 A new house may place a bit of a dent in your budget, so while you get your cash reserves back up, there are a few small fixes you can do to avoid a bland and impersonal domicile:

 1.    Eliminate clutter. Whether it’s with use of cool looking bins, drawers, or closets, less clutter means more open space and a greater canvas to work with. (Target has decorated bins ranging from $10 to $30.)

2.    Paint. A change of color can create a completely different atmosphere.

3.    Lighting. Ikea has some great lamps that give you the option to stray from standard table lamps.

4.    Area Rug. You can find these for about $50 (maybe even less) to add color, character, and definition to a room.

5.    Curtains. Another piece that can potentially add color and bring a theme together.

6.    Plants. They bring life and a breath of fresh air to a room.

7.    Art and photos. They give people a peek into your personality. (Plus, the dollar store has come a long way— you can find some pretty nice picture frames there.)

8.    Throw pillows. It may be something small, but adding them to an otherwise plain couch can be a big change.

9.    Recycle old decorations. Get creative and use the things you have from your previous home in a new way.

Among the pile of to-do’s on your move-in list are a few tasks that take priority. Before even getting any boxes into your new abode, have your utilities— electricity, heating/cooling system, water— turned on and ready to go for your move-in date. I made the mistake of asking a PSEG rep to come in and get the utilities going on my first official day in the apartment. Unfortunately, that first day was January 1st, when everyone had the day off— my appointment was pushed back to the 2nd. To my dismay, I had to work, so I was forced to rely on my super to let the PSEG rep in… He never let the rep in. Fast forward to me actually moving in on the 13th, 2 weeks after my official move-in date. Get those utilities turned on ASAP.

  Once that’s done, check all appliances and electrical outlets to make sure they’re working. This way, if anything that shouldn’t be malfunctioning according to your contract malfunctions, you have an opportunity to get it repaired.

  Finally, change those locks. You don’t want to take the chance of a stranger having access to your home, so on your first day there, get this to-do checked off your list. Then, you can rest just a little easier.

Finding someone to entrust your prized possessions with is tough. Not only do you have to have faith that any of object of value won’t have an accidental slip-fall-and break incident under their care, you have to have the utmost confidence that they’re not going to disappear with your $6,000 furniture pieces as soon as that van drives away.

  So, when it comes to finding a moving company, do your homework: research, research, research. Ask your close family and friends, as well as trustworthy realtors, for any recent referrals. Enlist at least 3 companies to review before making your decision. Then

  1.    Check to see if the company has been registered with the U.S. Department of Transportation, in which case it should have a DOT number.

2.    Check out reviews or complaints made against the mover with the Better Business Bureau.

3.    Call the company and ask for the following:

  a.    Moving estimates, which is usually given as a cost per pound and a rate according to the distance. This should be provided to you signed and in writing.

b.    What the mover is held responsible for should any damage be done to your property.

c.    Whether or not the company uses subcontractors. If so, ask for a complete list, and look into the driver who’ll be handling your things to ensure you’ll receive good service.

d.    When and how everything will be picked up and delivered.

e.    The best way to contact the movers before, during, and after your delivery.

f.      Insurance for your belongings.

  Once you decide on a moving company, you should be provided with an inventory list including all the items being moved and the condition they’re in; an order for service specifying the services the mover will perform and when your things will be picked up and delivered; and a bill of lading, which is a contract between you and the mover and a receipt of all your belongings.

Speaking from experience, moving into a new home can be a huge mixing pot of emotions: There’s excitement about having all this new space to start fresh with, frustration when things don’t happen the way they’re supposed to, eagerness to get things done, stressed when it seems like there’s just too much to do, etc. And sometimes going into emotional overdrive, especially when it comes to a situation as loaded as moving into a new place, can put a damper on productivity at a time when it’s needed most. My personal solution: get organized using a to-do list and a to-do schedule. It’ll do more than clarify what things need to get done by when— it also helps translate the mess you have going on in your head into actionable things you can conquer on paper.

 So, prior to the big move, create an index of your to-do’s, break those down into plans of action, and set a schedule limiting the time you have to completion (this way you avoid procrastinating and you have an increased sense of productivity once you see those tasks get check off— a psychological plus). The more detailed, the less confusion there is later. List what you need to do prior to the move (look for a moving company, have the utilities turned on, decide what you’re going to pack on what day, figure when you’re going to call to confirm the movers…), what has to be done during the move (choose what you’re going to unpack when, determine how much cash you’ll have ready to pay the movers…), and what you need to do once everything has been transferred into your new home (hire a cleaning company, decorate, paint…) It may seem tedious at the time, but you’ll avoid mishaps (like forgetting to make a confirmation call to the moving company) and save yourself lots of time (that could otherwise be spent rescheduling your moving day) and aggravation later.

Closing fees. You know you’re due to hand the check over once closing day comes. But what exactly are these fees you’re paying for?

  §   Realtor Commission Fees

§   Mortgage Broker Commission Fees

§   Attorney Fees

§   Loan Fees:

Loan origination (Paid to the lender for acquiring the financing and managing       the loan)

Points paid to lower the interest rate (1 point = 1% of the mortgage amount)

Appraisal (Covers the cost of acquiring an appraiser to value the home)

Credit report (Covers the cost of acquiring your credit report, which is needed       to determine your credit eligibility)

Mortgage insurance application (Covers the application processed for mortgage       insurance)

Assumption (If you are taking over an existing mortgage loan)

§   Loan interest from the day of closing through to the month’s end

§   Insurance

Mortgage insurance premium (May cover the first year’s premium, or a                           premium for the life of the loan)

Homeowner’s insurance premium

Flood insurance premium (Should you need it)

§   Settlement and Document Fees (For the agent who oversees the closing and for the preparation of the necessary documents)

§   Title Fees (For the title search and title insurance)

§   Notary Fee

§   Taxes (State and local fees and taxes)

§   Recording Fees (For recording the change of ownership within the deed)

After weeks of moving through the home buying process, you’re finally winding down for the close! Before you put your John Hancock on all those legal docs, here are the things that need to be checked off your list:

  *  A title search is conducted to ensure that the seller is the true owner of the house and that there are no liens against the property.

  *  Title insurance— which the buyer pays for— is acquired in case the legitimacy of the title is questioned after the closing.

  *  The buyer acquires homeowner’s insurance (a paid receipt and declaration of issuance required at closing).

  *  The buyer (or his/her representative) orders and pays for a certified property survey, in which a technical drawing of the property is created.

  *  The lender orders a flood search to determine whether or not the property is in a flood zone.

  *  An appraisal is performed to verify the value of the property.

  *  The buyer and his/her representative schedule a final walk through to inspect the house and ensure that the seller’s part of the bargain has been fulfilled. This is the buyer’s final opportunity to verify that all systems and appliances are working. 

So what happens once the seller accepts the buyer’s offer? Both parties sign the contract, making it legally binding. Each party is then given three days to hire an attorney and review the contract— otherwise, it remains as it stands.

I’m sure you’ve noticed my continual urge for home buyers to acquire a home inspection prior to signing the contract. So what exactly does a home inspection cover?

*The exterior and construction: Do the siding, doors, decks, porches, the wall, balconies, etc. need repair? Is there any rotting wood anywhere?

*The interior: Are the floors level? Do the windows and doors function as they should? Do the appliances work? Are there any leaks anywhere?

*The basement, foundation, and crawlspace: Are there any water problems? Are there cracks that can pose major structural issues?

*The attic and insulation: Is there proper ventilation in the attic? Do unfinished areas have insulation?

*The plumbing: Is it properly installed? Is it in good condition? Are there any leaks anywhere?

*The electrical: Is there any problems with the electrical and/or the wiring? Are there any code violations?

*Heating and cooling: Are these systems in good condition? Is their power ample enough for the amount of space they cover?

*The fireplace: Is it in good condition? Are there any blockages that could cause issues?

Keep in mind that home inspections do not check for the following:

o   Asbestos

o   Radon Gas

o   Lead Paint

o   Toxic Mold

You’ve found THE house and put an offer on it. So where do you go from here?

Here’s a quick run-through:

Once the selling party accepts your offer, the contract becomes official. From there, attorney review— which is when the attorneys of both parties perform their due diligence and make any modifications to the contract in your favor— begin. Meanwhile, you should hire a home inspector to examine the property so that any issues found can be negotiated within the contract. You will also need to contact your mortgage broker/designated lender to begin the mortgage process. Should everything run smoothly, meaning no further negotiations need to be made and your mortgage is completed and approved, then you and the seller can agree on a date to close.