Pemberton Homes TeamBuyer's Guide

One of the most important steps, your pre-approval from a trusted lender will allow you to shop for your dream home while knowing exactly how much house you can afford. This peace of mind will allow you to stay quick on your feet when it comes to writing offers.

Create a list of “must haves,” “nice to haves,” and “absolutely nots” to save yourself time looking at the wrong homes. Narrowing down where you’re willing to live is also useful.

You found the perfect house – AWESOME! Let’s put together the strongest offer possible within your unique situation. Your agent will reach out to the listing agent at this point to find out how we can make our offer stand out.

With an accepted offer in hand, the inspection period starts. An inspector’s job is to find minor and major issues with the home. Once we have the report, we can negotiate repairs or credits based on the findings.

One of the last steps before clear to close status is the appraisal. The lender will order a third-party valuation of the property to be completed so the bank knows how much they can lend you for the house.

Before closing, the title company and lenders will complete their examinations and processing to make sure everything is all squared away. You may have some items to turn in to your lender at this point. Do so as soon as possible to keep the timeline moving.

The moment we’ve all been waiting for. This means the lender has said we are all set to close on your new home! Double check wiring instructions for closing day with the title company.

We will complete a final walkthrough on the home, making sure the home is in the same condition or better than the last time we saw it. Then, you will sign the closing documents and get your new keys!

Tour model homes to find the right style and incentives for you.

Complete a design consultation with the builder representative. This is where you’ll choose the lot, floor plan, and exterior elevation.

Review and sign the purchase agreement.

Complete your selection appointment where you decide what finishes you would like in your home.

Construction starts. We will check in periodically to ensure the builder is on track.

A few weeks prior to closing, we will complete a blue tape walk-through where we walk through the home and stick blue tape anywhere that needs touch-ups.

Close on your new home and move in! Remember, new construction homes come with warranties. We will make sure you know how these work before you move in.

Single Family Home:
An independent residential structure with no shared walls, that sits on its own land and is designed to be used as a single-dwelling unit.

Multi-Family Home:
Property with multiple separate units contained within one building or several buildings within one complex.

Condo:
Property within a condominium building where the owner has full title to the individual apartment and undivided interest in the common areas.

Town House:
A traditional row house or multi-story home with a private entrance, that typically shares 1 or more walls with other residences.
Twin Home: A two-unit dwelling where each unit is owned by separate parties with the property line running through the shared, middle wall.

Cooperative:
A building jointly owned by a corporation made of the unit owners whereby each resident is a shareholder in the corporation based in part on the relative size of the unit they live in.

MLS:
Stands for Multiple Listing Service where real estate agents list houses.

Off Market/Office Exclusive:
Withheld listing that is only shared with agents from the same brokerage.

Days on Market:
The number of days a listing is on the market before an accepted offer.

Dual Agency:
Both the buyers and sellers are represented by the same brokerage.

Facilitation:
Neither party is represented, but an agent is assisting with paperwork.

Loan Officer:
Representative of a financial institution who assists borrowers in the application process.

Underwriter:
Financial expert who looks at financing and assesses how much risk a lender will take if the institution loans money.

Earnest Money:
Money paid to confirm a contract.

Down Payment:
Initial payment made when something is bought on credit.

PITI Payment:
Monthly principal, interest, taxes, and insurance.

Debt-to-Income Ratio:
Calculation of total monthly debt payments versus monthly income.

Discount Points:
Points of interest that can be purchased to lower your interest rate.

Cash to Close:
Total amount of money needed on closing day to finalize the home purchase.

Appraisal:
Third-party market valuation of the subject home that determines the maximum loan amount.

Rent Back:
Sellers keep possession of the property after the sale closes while paying the buyers rent.

Move-In Agreement:
Buyers move into the property before closing and pay rent to the seller.

Backup Offer:
An offer made in acknowledgement of an existing offer, which ensures a contract with the seller if the first offer falls through.

Escalation Clause:
Allows for an increase in purchase price based on other competing offers.

Appraisal Gap:
States the buyer will cover some or entirety of a gap in case of low appraisal.

Blind Offer:
Offer submitted without seeing the property in person.

As-Is Sale: An agreement between the buyer and seller where the buyer releases the seller of any liability after the sale is final.

Multiple Offers:
Situation where there are multiple offers on a single property.

Seller Contributions:
Closing costs normally paid by the buyer that are being paid by the seller.

Home Inspection:
A limited, non-invasive examination of the condition of a home, often in
connection with the sale of that home, conducted by a certified home inspector.

Sewer Inspection:
An examination of the sewer line of a property via camera looking for cracks, clogs, or other defects.

Chimney Inspection:
An examination of the chimney to look at any buildup, obstructions, damage, or other defects.

Radon:
A colorless, odorless, tasteless radioactive gas that is often found in the lower levels of homes.

Radon Test:
Measures the presence and level of radon in the home either with charcoal canisters or with a special film.

Title Insurance:
A contractual obligation that protects against losses that occur when title to a property is not free and clear of defects.

Title Examination:
The process of examining public records and retrieving documents on the history of a piece of real property to determine and confirm property’s legal ownership and find out what claims or liens are on the property.