FAQs

These are recently sold properties that are similar in size, location, and amenities to the home for sale. These properties help an appraiser and a Realtor determine the fair market value of a property.

An appraisal is an independent opinion of the value of a property. A common method used by appraisers to form this opinion is to select similar properties that have recently sold and compare them to the property in question. Banks and mortgage companies typically require an appraisal when they are providing a loan for a purchase of property.

You must take into account the prevailing state of the real estate market and especially local market conditions. The real estate market continually changes, and market fluctuations affect property values. It is critical to determine your listing price based on the most recent comparable sales in your neighborhood. It would be a good idea to get a Home Value Request, or CMA, also known as Comparable Market Analysis.

FSBO stands for For Sale By Owner. A for sale by owner property usually indicates that the property is being sold without a real estate agent.

A multiple listing service is a computerized listing of the homes for sale in an area listed with a Realtor. Agents are granted access to the MLS and can use it to find a house in a particular price range or area even if they are listed with another company.

Title insurance is insurance that protects the lender and buyer against any losses incurred from disputes over the title of a property.

If a buyer is prequalified it means that they POTENTIALLY could get a loan for the amount stated, assuming that all of the information provided to the bank is accurate and true. This is not as strong as a preapproval.

If a buyer is preapproved, it means that they have undergone the extensive financial background check, which includes looking at credit history, previous tax returns and verifying employment – and the lender is willing to give you a loan.

Most sellers prefer buyers that have been preapproved because they feel more confident that there will not be problems financing the purchase if an offer is accepted.

A REALTOR® is an agent or agency that belongs to the local or state board of REALTORS® and is affiliated with the National Association of REALTORS® (NAR). They follow a strict code of ethics beyond state license laws and also sponsor the Multiple Listing System (MLS), which is used to list houses for sale.

A real estate agent is more than just a sales person. A real estate agent may act on your behalf, providing you with advice and guidance when buying or selling a home. Due to the constant changing of the market, the information available on listings is not always 100% accurate. There are times when you need the most current information about what has sold or is for sale.  The only way to get that is with a real estate agent.

If you are in the market to buy, it would be advisable to use a Buyer’s Agent.  A Buyer’s Agent can offer opinions and make recommendations as to what terms and price to offer as well as negotiate a deal with your best interest in mind.

Closing costs are expenses incurred by buyers and sellers in transferring ownership of a property. Some examples of closing costs include: real estate transfer taxes, title fees, property taxes, prorated utility bills, and real estate commissions. Your lender will provide you with an estimate of closing costs for you to review before your closing date if you are purchasing a property.