Do you know what an escrow account is?
Deposit accounts, or escrow accounts, are accounts that receive the initial deposit or “good faith deposit” of a transaction and are made through a title company or the attorney in charge of the proceeding. In other words, the money does not go directly to the seller but is protected impartially until the end of the purchase. The deposit is made to formalize the commitment to purchase the property; this is a sign of good intention under the parameters and regulations established by law. Usually, the amount of the deposit ranges from 5% to 10% of the purchase value, depending on what is agreed between the parties involved in buying and selling a property.
When is the deposit paid in good faith?
The good faith deposit is canceled depending on what is established in the contract; it will be stipulated how many days the buyer will have to make this deposit and any other conditions that the buyer must meet. They are usually made the day after an offer is signed by the buyer and seller (bid executed). After the seller accepts the offer, the deposit will not be refunded unless one of the contract clauses is not fulfilled. The escrow deposit funds are used at the end of the transaction in favor of the buyer.
If you need help when executing a real estate transaction, don’t hesitate to contact an expert team of real estate professionals, this way, you’ll watch your back, and your transaction will go smoothly.
4 Tips for Preparing Your House for Sale:
A little effort and preparation time before a visit to the house helps tremendously in the sale. It reduces promotion time and can result in more money for the seller. A few tweaks make a big difference in achieving a favorable impression on the buyer.
Tour your house today, become a curious buyer and take notes on what you could see and improve; this way, you can repair and improve everything that remains outstanding to get greater dividends from your sale.
GIVE A GOOD COAT OF PAINT:
When selling your home, one of the most important things you can give is a fresh coat of paint. You may have a personal preference for bright and bold colors; it’s best to stick to more neutral tones when painting your house to sell it. White is always a good choice, as it allows potential buyers to focus on the house’s spaces and not on their colors. In addition, a fresh coat of paint gives the impression that the house is well kept and maintained. If you’re unsure which color to choose, ask your real estate agent for advice. They will be able to guide you based on their industry experience.
Brighten up spaces:
When you’re trying to sell your home, it’s important to make a good first impression. Before potential buyers visit you, open the windows to let in natural light and add floor and table lamps to darken the areas and make the house appear more spacious, airy, and cheerful. This will help create a welcoming atmosphere that makes potential buyers feel welcome. Also, be sure to tidy up areas that may be untidy or look like it, as this may give the impression that the property is not well maintained.
Keep bathrooms clean:
One of the most important selling points of a house is its bathroom. Shoppers are looking for a relaxing and inviting space, and a clean bathroom is essential to creating this atmosphere. You can do a few simple things to turn your bathroom into an oasis of peace. Add some scented candles to help create a peaceful atmosphere. You can also place some imitation plants or flowers to add a touch of nature. Finally, add some well-placed washcloths, towels, and bath mats to complete the look. You can easily transform your bathroom into an oasis of serenity that impresses potential buyers by following these simple tips.
Eliminates bad odors:
Professionalism is essential when selling your home, including eliminating bad odors. Ensure your home doesn’t have a lingering pet or food odors, as they can discourage potential buyers. Place incense around the house to help mask unwanted odors and keep the place clean so potential buyers feel comfortable and welcome.
It’s very simple, just put yourself in the buyer’s shoes and imagine that you would like to observe yourself when buying your future home. Follow these simple tips and welcome the future owners of your property.
4 simple things to know about your homeowners insurance.
A home insurance policy can give you peace of mind that you are always protected and prevent you from any future events that may occur. Professional insurance companies are always on the lookout for new opportunities to help their customers, and they are keenly aware of the different types of risks homeowners face. To this end, they offer a wide range of coverage options that can adapt to the specific needs of each insured. Here are four things to know about your home insurance:
Protect yourself from lawsuits:
If you have a property and don’t have real estate insurance, you may be exposed to lawsuits and litigation from your tenant. To solve this possible problem, you can obtain third-party damage coverage is essential, also called “Liability Converge”.
This coverage starts with limits from USD $100,000 to $1,000,000 and is relatively inexpensive and important since they protect your asset.
Protect your property with a life policy:
A life policy protects property from the accidental or natural death of the property owner. This insurance pays in full or in part the mortgage balance, allowing the property to be free of debt to its beneficiary.
If the property has no debt, the beneficiary will receive an equivalent to the economic value of the property.
Increase your deductible and lower the cost of the policy:
The higher your deductible, the more you can save on premiums. Insurance companies recommend a deductible of at least $1,000, but with deductibles greater than $2,500 you can save up to 25% on the annual premium.
Having security features on the property reduces your premium:
You can get up to 20% discount for having a smoke alarm, fire, and burglar alarm with central notification and certain locks on the front doors of the property. These systems are economical and offer greater security to your property.
By following these simple tips, you can ensure that your home insurance gives you the protection you need and that you get the best benefit from it.
Protect your home now!
Do you know what a title company is?
Title companies generally represent the transaction and act as the combined agent of the title insurer, the buyer, the seller, and any other party related to a real estate transaction, such as the mortgage lender. The responsibilities of a title company are many, the most important of which are:
Title analysis for issuing a title insurance commitment:
Title analysis is a professional service that helps ensure that can legally transfer property. It is often done before purchasing a property and can help you discover any potential problems with the title. The title analysis will examine the tenured history of the property, and during this investigation, any situation that needs to be resolved is discovered. If the problem is not resolved, it will be decided whether or not title insurance is issued. Title insurance protects the buyer from any loss that may occur due to problems with the title.
Carry out the closing of the transaction, preparing all legal documents:
A title insurance company must ensure that all transactions are closed smoothly and effectively. Part of this process is to prepare all the legal documents required for sale. This contacts the buyer or their bank to ensure that all necessary payments are made.
Issue title insurance at the end of the transaction:
A title insurance company must issue title insurance for the purchaser and the financial institution, guaranteeing a title free of defects. Professional title companies will thoroughly search property history to ensure there are no overdue taxes, claims, or mortgages against the property.
Having a clear title is essential for both the buyer and the lender, and a professional title company can provide peace of mind that your investment is safe.
By taking these steps, we offer the buyer peace of mind as we ensure their investment against any problems related to the ownership of their property.