In a real estate transaction, there is a buyer and a seller. There is also the buyer’s real estate agent (also called a realtor or a broker) and the seller’s real estate agent. The agents’ roles are to help the buyer and seller navigate the process of transferring real property and ensure that each individual’s interests are protected. The buyer searches for a home to purchase while their real estate agent negotiates the sale and prepares the purchase offer. The seller formally agrees to list their home for sale and authorizes their real estate agent to market the home, attract buyers, and negotiate a home sale on their behalf. Usually the buyer and seller will each have their own agent.

A mortgage lender (which could be a bank or a mortgage broker) helps the buyer apply and be approved for a mortgage. A buyer will usually work with a mortgage lender before looking at any homes with a real estate agent, because the mortgage lender will give the buyer a “pre-qualification” letter that states how much money the buyer is financially qualified to borrow in order to purchase a house. This “pre-approval” can be very important in a competitive real estate market, as it can make your bid more attractive to a seller than a potential buyer without pre-approval.

Once an offer is made, the buyer will usually be given the opportunity to hire a licensed home inspector who will evaluate the home and ensure that the property is up to county or state code. The home inspector will evaluate sanitary facilities, living, sleeping, cooking, and dining areas, water quality, temperature, roofing, electricity, any lead paint, ability to access the property without trespassing onto someone else’s property, ensure there is safe drinking water, make sure there are no pests, mold, or mildew, and consider any non-residential use of the property. Generally, the home inspector will assess the property to make sure the house is fit to live in safely and comfortably. The inspector then provides a written report, which can be used by the purchaser to negotiate certain repairs or upgrades as recommended in the report.

Buyers will also pay for an appraiser to inspect the homes and give a Notice of Value that shows the parties how much the home will cost. The primary function of the appraisal is to satisfy the lender that the home is worth the purchase price, since the home will be collateral for the loan.

A title company generally acts as the combined agent of mortgage company, buyer, seller, and other related parties, and their role is to ensure that the seller legally owns the property and can transfer the title to the new buyer. A buyer pays an initial deposit called “earnest money” to the title company to hold until the home’s closing, and the escrow officer is the person responsible for taking care of the money and having it available at closing to give the deed to the buyer. The company also issues a title insurance policy. An attorney may also be the escrow officer and replace the role of the title company instead.

The closing agent is either a title company or an attorney, who collects and the purchase money and closing costs, prepares the necessary documents for closing, ensures that the documents are executed properly and recorded in the public records as necessary, and then disburses the proceeds of sale to the seller after seeing that all closing costs are paid.  The closing agent will also inspect the legal title and certify to the lender and/or purchaser that they are receiving a good and sufficient legal title to the property. 

​Clearly, selling a house is harder than it looks. That is where qualified professionals can help you navigate a complex process while keeping your best interests in mind.

So you’ve decided to buy a house.  That’s great!  Homeownership is a wonderful thing, but you may feel like you need to jump a few hurdles before you can cross the finish line.  Real estate closings can seem complicated, especially if you’re a first-time home buyer, so here’s a checklist of things you’ll need to bring to the big day:
 
1.     Your ID. 

Bring your driver’s license or other form of photo identification.  Some lenders even request a second form of ID such as a passport or a birth certificate.  Your lawyer will let you know what’s required.
 
2.     Funds.

You will need to provide cash for both the down payment and the closing costs.  Your closing attorney will give you the numbers- just be sure to bring a cashier’s check.
 
3.     Your Good Faith Estimate.

Your lender should have provided you a Good Faith Estimate of closing costs during the loan application process.  Make sure the final closing costs match up to what was originally quoted to you.
 
4.     Proof of insurance.

You will need to provide proof that you have established a homeowner’s insurance policy on the property.  Your lender may want to review your policy before closing on the home.
 
5.     Your signature... and your smile.

​Buying a home- from finding a lender to going through the ordeal of closing- can be a stressful experience.  This is the day you finally get the keys.  The house is yours.  Congratulations!
 
At Collins & Hepler, we’re proud of our long history of residential and commercial real estate closings.  In fact, our archive houses over 6,000 real estate files.  We bring experience and personalized service to your home buying process.  If you’re thinking of purchasing a property in Covington, Alleghany County, Bath County, Lexington, Rockbridge County or Buena Vista, contact us for a free consultation.

​1.     Landlords are required to disclose certain facts.

When you move in, for example, a landlord is required to disclose to you the names of all the people who have a right to manage the property.  They’re also required to tell you if there is any visible evidence of mold.  If there is, you have the right to change your mind about moving into the property within five days.

2.     There is a limit on how much the security deposit can be.

Virginia state law dictates that the security deposit cannot exceed the amount of two month’s rent.  Also, if all the conditions are met, the security deposit must be returned to you within 45 days after you move out.

3.     Certain rules have to be followed before you can get evicted.

For example, if you have repeatedly violated the lease (such as damaging the property or keeping a pet), the landlord may give you an “unconditional quit notice,” which means that you have 30 days to move out before the landlord can file for eviction

4.     You have the right to withhold rent if important repairs are not made.

If a landlord fails to take care of an important repair, such as a broken heater or a blown fuse, you have the right to withhold paying rent until the repair is made.

5.     There are restrictions on a landlord’s right to access the rental property.

When a friend of mine was living in Richmond, her landlord and one of his buddies unlocked the door and walked into the apartment she was living in as she was sleeping, with no notice.  As you can imagine, it terrified her.  This action was illegal.  A landlord is required to give you 24 hours notice of entry (unless you’ve requested maintenance).
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It’s always helpful to know the laws and know your rights!  Click here for more information on landlord-tenant laws in Virginia.