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What You Need to know About Real Estate Contract?

One of the most important steps in buying a home is ensuring that the real estate contract is clearly understood. Since most purchasers are first-time buyers, many are not aware of what they need to know about a new real estate contract. Sunwest Escrow understands that this new experience can seem overwhelming, that’s why we’ve provided the following tips that we believe you should know about your housing agreement.

What You Need to Know About a Real Estate Contract Albuquerque

Understand the different types of contracts.

General purchase agreements are contracts in which a seller and buyer agree to a real estate transaction. A state or association purchase contract is the same agreement except a real estate agent is also involved. Property-specific purchase agreements regard vacant land or mobile homes. When purchasing real estate, make sure you understand that certain contracts may only be applicable in specific situations.

Make sure it correctly lists the essential details.

This contract is legally binding, and as such, must list exactly what both parties have agreed upon. Before you sign your agreement, check to make sure it has the following:

  • Correct price
  • Correct closing date
  • Offer expiration deadline
  • Earnest deposit amount
  • Any contingency conditions
  • Who is assigned the fees for inspections, survey, and title insurance

Choose a reliable escrow company to withhold and enforce the contract

An escrow company is a third-party service that will keep the property deed and all other documents safe and secure. They’ll hold the deed until the transaction is completed and both seller and buyer are satisfied. They’ll also record all monetary transactions for both parties and help the seller and buyer come to reasonable agreements if there is ever a dispute.

Real Estate Contract Albuquerque

It’s critical that you understand the terms of this document, that the contract lists the correct details of the agreement, and that a trustworthy escrow company oversees the transaction. Sunwest Escrow has been one of the most trusted escrow companies in New Mexico for thirty years. If you have questions about your real estate contract, we’d be happy to answer your every question. Call us today for more information.

Original Source:- http://sunwestescrow.blogspot.com/2018/08/what-you-need-to-know-about-real-estate.html

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Importance of an Escrow Company

According to Time Money, an escrow account is essentially a holding account used during the purchase of real estate. Some transactions involve two escrow accounts, the second of which is utilized between the purchaser and a lending company, such as a bank. During real estate transactions, an escrow officer is tasked with managing all of the important documents and financial transactions that occur between the buyer and seller. A title or escrow company in Albuquerque is able to function as the escrow officer for these transactions and safeguard both parties.

The Roles of Escrow Companies

Buyers and sellers benefit from employing the aid of a licensed or controlled escrow company Albuquerque. Escrow officers protect buyers and sellers throughout the real estate transaction. According to Real Estate ABC and Investopedia, their roles may include:

  • Following all instructions in a timely manner according to buyer, seller and lender needs.
  • Managing documents for all parties and submitting them accordingly.
  • Managing funds for both parties, which may include the authorization to pay bills.
  • Responding to requests from the buyer, lender, seller, and borrower.
  • Ensuring that all terms and conditions are agreed upon by both parties.
  • Processing and closing the escrow once all terms and conditions have been met.
  • Distributing the funds after the transaction has been finalized.

Why Hire an Escrow Company

Escrow officers are valuable third-party resources that protect the seller, buyer, and lenders throughout the transaction. Real Estate ABC states that the escrow holder is obligated to keep all funds and documents safe and will not release these items until the instructions of the transaction have been met on all sides. The escrow officer is a safeguard in the event of:

  • The buyer gets cold feet and retreats from the deal.
  • The seller decides that they no longer wish to release their property.
  • Any oversights or errors on documents.
  • Any disagreements between the buyer and seller.
  • The buyer’s inability to get approved by a lending company.
  • Any legal issues in regards to property or title ownership.
  • Any instances of fraud.

The Importance of an Escrow Company

For buyers and sellers that are new to the real estate process, escrow company in Albuquerque can help both parties ensure that the transaction is legally and financially sound. Realtor.com highlights the importance of these third-party companies, citing that escrow officers ensure that all conditions of the purchase agreement have been met on both sides before property and funds are exchanged.

Original Source:- http://sunwestescrow.blogspot.com/2018/07/importance-of-escrow-company.html

Tips Before Signing a Real Estate Contract

If you have ever purchased or sold a home, you understand that the paperwork can be dauting. But before you sign the dotted line it is important to know what you’re getting yourself into. Sunwest Escrow specialises in escrow services in New Mexico. We guide buyers and sellers every day, along the home buying and selling process and make sure they have a good understanding of every step. If you’re searching for real estate contract Albuquerque let Sunwest Escrow help guide you in the right direction.

Read the below tips before signing a real estate contract to help you better understand the process.

  • You can tailor the terms to meet your needs. You should not sign anything that you are uncertain or have concerns about.
  • Know the property value and read the property report. Know what you are buying and how much the home is worth.
  • Make sure all the terms agreed upon are in writing. Adding it to the contract makes it part of the binding agreement.
  • Review the title registration. If you have any questions or concerns about the notes on the registrations on title or would like any registrations reviewed, be sure to contact a real estate lawyer.
  • Look at The Municipal Stamp of Compliance

Our Mission at Sunwest Escrow

Sunwest Escrow has become the most trusted escrow company among title companies and real estate brokers in New Mexico. We take pride in educating our clients in many forms from escrow services and beyond. We have books about owner financing in both English and Spanish. We also have a wide variety of tutorial videos explaining every aspect of the process, simplifying the escrow process.  Visit our website for more detailed information or call us to today to schedule an appointment and review all your real estate contract Albuquerque needs.

Original Source:- http://sunwestescrow.blogspot.in/2018/05/tips-before-signing-real-estate-contract_24.html

Pros and Cons of Owner Financing

Owner Installment Sales

Owner financing or seller financing is just what it sounds like. Instead of the home owner receiving a major loan from a bank, the individual selling the home lends the buyer funds for the purchase of the property. In this type of transaction, the seller plays the role of the bank and is the financer. If you’re searching owner financing Albuquerque and looking for additional information, contact Sunset Escrow today.

The Pros and Cons for Buyers

There are some pros and cons when considering owner financing. The potential buyer can reap some advantages to the buyer who engages in an installment sale transaction. The cons that are seen are often the elevated purchase price and higher interest rates. However, new conventional lenders offer fixed interest rate loans today. Advantages of owner financing for the buyer include:

  • Easy Qualification
  • Credit Rating
  • No Loan Costs
  • Fast Closing

Benefits to the Seller

On many occasions, we see sellers that want fast cash and to pay as little taxes possible. Benefits of owner financing for the sale means they can charge a high price, sometimes higher than fair market value. The sale of a property by an owner financing installment will net the seller cash and more capital gain. Some benefits to the seller include:

  • Higher Sale Price
  • More Cash Upfront
  • Fast Closing
  • Tax Savings

Sunwest Trust

As financing experts, Sunwest Trust simplifies non-traditional transactions, which enable both buyers and sellers to reap the most benefits. Since 1987, we’ve become the most trusted escrow company in New Mexico. We believe that helping our clients achieve their goals is extremely important to the success of our business. Transparency is at our core. If you’ve been searching owner financing Albuquerque and want to gain some additional insight to benefits and cons, contact Sunwest Trust today.

Original Source:- http://sunwestescrow.blogspot.in/2018/05/pros-and-cons-of-owner-financing.html