Simplify Your Home Buying Experience

Buying a home can be an enormous undertaking - be sure to retain the services of a qualified Realtor. You should be able to trust your Realtor to always keep your interests first and foremost. As a qualified professional, I will guide you through the entire home buying experience and assist you in being an informed buyer.

Simplify Your Search

What features do you require in a home to satisfy your lifestyle now and in the future? If you are not familiar with the various areas of Malibu, I can be of help to guide you through your search. Determine your range of affordability, your design preferences and lifestyle needs.

Moving Forward

Once you have found the home that is right for you, you will want to move forward to write an offer. This will consist of an earnest money deposit check to be held in the Broker's trust account until the offer is accepted or an agreement to wire funds into escrow within a given period of time (usually 3 days) and a written real estate purchase agreement. This agreement will set forth your terms of the purchase and a schedule of events in order to accomplish your goal of owning the property. This important document is a legally binding agreement and should be carefully prepared by a knowledgeable Realtor who is qualified to reflect your needs. Please be sure to review all documents and it is even suggested that you might decide to retain the services of a Real Estate Attorney to review all documents.

Final Steps

Coordinating your sale process will be a licensed Escrow Company that serves as a neutral third party. Once the agreement and disclosures are signed and fully executed, all the paper work is sent to and handled through the Escrow Company. After furnishing the down payment and whatever other applicable fees have been agreed upon prior to closing, final papers will be signed. After the deed and any mortgage documents are prepared, the loan (if you are obtaining one) will be funded and the deed will be recorded at the Country Recorder's office. You will then be the proud owner of a new home.

Back to Top

• How much mortgage can I afford?
• What down payment is needed?
• What is the difference between pre-qualification, pre-approval and approval?
• What interest rates are available?
• What is mortgage insurance and is it required?
• What type of documentation will I need?
• How do 15- vs. 30-year terms compare?
• What are points and do I pay them?
• What is difference between a fixed rate mortgage and adjustable rate mortgage?
• What closing costs will I incur?
• What is being locked-in?
• How long will the mortgage process take?
• What is included in a mortgage payment?
• What would the payments be?
• When would the payments begin?

Make Your Mortgage The Right Fit!
Mortgages to meet everyone’s needs. These summaries will help you narrow your search.

Adjustable Rate Mortgage

A mortgage that allows the lender to adjust the mortgage's interest rate periodically on the basis of changes in a specified index. Interest rates may move up or down as market conditions change. The change in interest rate will result in a change in the periodic payments due under the mortgage. ARMs may be attractive when short-term interest rates are trending lower.

Balloon Mortgage

Usually a short-term fixed-rate loan that involves small payments for a certain period of time with the balance due in a single, large payment at a time specified in the contract. When the balloon mortgage comes due, the entire balance must be paid. Generally, the homeowner must either refinance or sell the property.

Buy-Down

The payment of extra money on a loan now so as to provide a lower interest rate over either a given period or over the life of the loan. To buy down a mortgage, the buyer pays additional points to the lender, which will decrease the interest rate for a specific period.

Conforming Loan

The payment of extra money on a loan now so as to provide a lower interest rate over either a given period or over the life of the loan. To buy down a mortgage, the buyer pays additional points to the lender, which will decrease the interest rate for a specific period.

Construction Loan

A structured, short-term loan to provide funds necessary to begin construction on buildings or homes.

Conventional Mortgage

A mortgage loan made by an institutional lender without the inclusion of government guarantees such as VA or FHA loans.

Convertible ARM

The convertible ARM is a combination of both fixed-rate and adjustable rate mortgages, allowing the best of both options in one package.

Deferred Interest Mortgage

A mortgage in which the payment is not sufficient to cover the principal and the interest and the payment portion of the interest is postponed until a certain date at which time the interest postponed is added to the principal owing.

Federal Home Loan Mortgage Corporation (FHLMC)

The Federal National Mortgage Association, which is a congressionally chartered, shareholder-owned company that is the largest national supplier of home mortgage funds. It is commonly known as Freddie Mac. The company buys mortgages from lending institutions, pools them with other loans, and sells shares to investors. Detailed information may be found at http://www.freddiemac.com.

Federal Housing Administration (FHA)

An agency of the federal government, the Division of the Department of Housing and Urban Development, both sets standards for the underwriting of private mortgages and insures residential mortgages made by private lenders.

Federal Housing Administration (FHA) Loans

Low-rate loans available to Americans with smaller incomes who are interested in modestly priced homes. Down payment requirements are usually lower than the prevailing ones.

Federal National Mortgage Association (FNMA)

The largest supplier of mortgages to home buyers and owners, a corporation established by Congress and owned by stockholders. Commonly referred to as 'Fannie Mae,' this federally chartered agency buys mortgages from lending institutions, pools them with other loans, and sells shares to investors. Detailed information may be found at http://www.fanniemae.com

Fixed-Rate Mortgage

The interest rate you pay and the monthly principal and interest payments are agreed upon from the outset and will not change throughout the entire term of the mortgage.

Government National Mortgage Association (GNMA)

A government-owned corporation within the U.S. Department of Housing and Urban Development, it is also referred to as 'Ginnie Mae’. This government agency guarantees the payment of principal and interest on all of its pass-through securities, and its guarantee is backed in turn by the full faith and credit of the U.S. Government.

Graduated Payment Mortgage (GPM)

A mortgage that usually starts the borrower with low payments that are gradually increased over five to ten years, before leveling off for the remainder of the term of the loan until the loan is fully amortized. Negative amortization usually occurs until the payment reaches the level payment stage. Usually government insured loans (VA or FHA).

Growing Equity Mortgage (GEM)

This is a long-term mortgage whereby the borrower agrees to increase his payment each year by an agreed amount. The added money per payment is applied directly to the outstanding principal on the mortgage. The mortgage thereby is paid off in a shorter number of years.

Jumbo Loans

Loans above a certain amount which may be more difficult to obtain and often will be at a higher interest rate.

Renegotiable Rate Mortgage (RRM)

Similar to an Adjustable Rate Mortgage, this type of mortgage allows the interest rates and payments to be adjusted periodically according to an index.

Reverse Annuity Mortgage (RAM)

A type of mortgage in which the property's equity serves as security for periodic payments made by the lender to the borrower. Mortgage is generally paid out upon the sale of the property.

Rollover Mortgage (ROM)

A mortgage where the payments are only guaranteed for three, four, or five years. The borrower is allowed to refinance at the end of the term at the interest rate then applicable.

Shared Appreciation Mortgage (SAM)

It is a loan arrangement where two or more parties participate in the purchase of real estate and share the appreciation and tax deduction. Similar to shared equity mortgages.

Veterans' Administration Loans

Mortgage loans to veterans by banks, savings and loans, or other lenders that are guaranteed by the Veterans' Administration, enabling veterans to buy a residence with little or no money down.

Wraparound Mortgage

A secondary financing option in which a new larger mortgage is created to encompass the first mortgage. This large second mortgage is used to preserve the low interest rate on the first mortgage for a potential buyer.

Drive To Learn

Evaluate as you drive though a community. Consider the following questions as a basis for determining your location needs:

• Where is the nearest shopping center, bus line, police station and library?
• What school district is the home in, and what schools are available?
• What types of homes (single family, apartments, condominiums) are in the neighborhood?
• How far apart are the homes?
• How far is your commute to work?
• What community resources are available?
• Do you notice a lot of noise, traffic or pollution?
• Are the homes in good repair and the landscaping well kept?

Finding The Right Home

Keep your eyes open and your notebook in hand as you walk through a potential home. Consider the following questions as a basis for determining your needs as a homeowner:

• How long has the home been on the market?
• Why is the home being sold?
• What is the asking price of the home?
• Has the price been lowered?
• Is the price comparable to other homes in the neighborhood?
• What is the down payment required?
• Is the house structurally sound?
• Is there room enough for the present and the future?
• What is the condition of the yard ?
• What improvements would you need to make to satisfy your needs?

Think carefully about each house you see and don’t be in a hurry. I will be happy to point out the pros and cons of each home from a professional standpoint.

The Offer

Making an offer to buy a home entails many factors. I will be happy to discuss the following factors prior to putting the offer on the table:

• Amount of earnest money
• Down payment
• Price you are offering
• Proposed closing and move-in date
• Details of the sale
• How long the offer is valid

The seller will either accept the offer as presented, or hopefully make a counter offer and ask you to consider their response. When all the parties involved have agreed upon the details, initialed any revisions and signed the final agreement then an offer becomes an executed contract.

• Assessor parcel number
• exact street address
• Selling price of the property
• Amount of earnest money and who is holding it – often it is held in the Broker's trust account until the offer is accepted.
• Amount due at the close of escrow
• Specifics of the mortgage (amount, rate and terms)
• Escrow Company - your Realtor may have a company of choice that they are used to working with.
• Title company – the company that will insure that you have title to the property at the close. You will be provided with preliminary title report shortly after entering escrow.
• Home inspection – to investigate if there are unknown defects, to be completed in a specified time period.
• Geology Inspection - recommended to understand the "lay of the land"
• Additional inspections as requested - mold, chimney, roof and possibly engineering.
• Inclusions and exclusions - examples would include washers, dryers, drapes, etc.
• Well and septic – if applicable, must pass inspections
• Date of possession – when you take possession of the property
• Acceptance date – either an acceptance or counter-offer must be responded to by a specified date

• provide names of inspectors and assist in scheduling all necessary inspections. It is recommended that you speak with each of the inspectors and decide who you want to use.
• Check that finances are deposited according to the contract specifications
• Keep you informed of any unforeseen problems (and there will be) that may arise and offer solutions
• Present a list of utility companies available for service
• Schedule and attend the pre-closing walk through