Home Buyer Guide - San Antonio, TX

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Here is where we will start to understand the process of home buyer...We will go over the role of
Buyer’s Agent and Representation.

If the research isn’t done beforehand for homes we will be viewing... then this will be the time it will be done. Home buyers can see for themselves whether or not the criteria they would like is actually available... If not, we will make the necessary changes to come close!

After we refine the search... the appointments are made. We will also look at new homes... if so desired since builders cooperate with Realtors (we sell 70% of their product). It’s very important, though, that the Realtor be with the home buyer at the initial visit.
See how this will benefit you... the home buyer.

Usually, you will know and so will I!... what you like and don’t like after about 3 homes... if we are heading in the right direction of your Dream Home!

I also go over what it takes to present an offer...such as having a pre-qualification letter to accompany it... and what our contract consists of.

When we’re ready to make an offer on a property... a pre-qualification letter from the lender is best to accompany it. Therefore, it’s important to start this process prior to our searching for your home. Find out more about the process.

I can put you in the hands of a recommended local loan officer with access to many programs... who can counsel and guide you... as to the most advantageous and appropriate one for their needs.

The terms of the contract provide for a Conditional Loan Approval from the lender based on a loan application* and Credit Report within a specified number of days with Seller’s Acceptance of the contract. This means loan application would need to be made immediately after the offer is accepted.

The loan officer will give you a Good Faith Estimate of the closing costs involved with the financing... as well as an estimate of monthly payment.

The one-time closing costs are the origination fee... usually one point (or 1% of the loan amount) and any other points... sometimes called discount points (the more points, the lower the interest rate)... The appraisal fee, credit report, and other lender fees... such as document preparation, underwriting fee... are further one-time closing costs.



Now we have found just the right home... or close to it ... sometimes compromises have to be made... I will do a comparable market analysis of that subdivision to see if this home is priced fairly... and how it relates to others that have sold in the subdivision and area. This comparable market analysis commonly referred to as CMA tells us the price range of sold properties in the area... what the average time on the market has been... and what the average sales price per square foot of the recent solds are.

In some cases there may not be enough that have sold... I find out how long the property has been on the market... or if there have been any price changes during the listing period... if there have been any other offers on the property... and what the motivation of the seller is... Or any other information that may be of benefit to you as home buyers.

After analyzing all the information you will determine if you would like to submit an offer on the property. I present the offer to the seller’s agent... who in turn presents it to the seller. There could be multiple offers... there may be counter offers along with your offer... Time is of the essence... A fair offer usually generates a fair response.

When we have an accepted offer... both parties have signed and the executed date is filled in by the broker for final acceptance... Then we have a contract between the parties. A check would be made out for the earnest money and held in escrow.

An escrow is an arrangement in which a neutral third party, in Texas a Title Company, holds the funds and legal documents for the home buyer, the seller and the lender and distributes the funds according to the home buyers and seller’s instructions as per the purchase contract.

If the contract calls for an option period for which the home buyer has the unrestricted right to terminate the contract then the option fee check would also need to be made out at this time and given to the seller. We would have approximately 10 days or less in which to do a Home Inspection if one was requested in the contract. We both attend because you will learn much about the mechanisms of the home. Any repairs will be requested in writing immediately.

Loan application should be made within 15 days unless you will be paying cash and we will proceed forward with setting up for closing. Your loan will go to underwriting and the lender may ask for additional information.

See Loan Application Notes

The Title Company will provide:

Title insurance as per contract( usually provided by seller to the home buyer at closing).

Obtains approvals from the buyer on the Preliminary Report, pest and other inspections.

Receives funds from the buyer and/or any lender.

Prorates insurance, taxes, rents, homeowner association fees, etc.

Disburses funds for title insurance, recording fees, real estate commissions, lien clearance, etc.

Prepares a final statement for each party, indicating amounts to be disbursed for services and any further amounts necessary to close escrow.

Records deed and loan documents, delivers the deed to the home buyers, loan documents to the lender and funds to the seller, closing the escrow.




You will want to arrange for the utilities to be turned on when the seller’s are turned off... Don’t forget to have the phone company ready to turn on your new service as well... Make sure all magazines, bills, family and friends have your new address! Anything related to school registration should also be done well in advance. Check out my Community Info for tips and help.

The closing is almost always done at the title company... an exception could be an out-of-state or out-of-country buyer... in which case documents are Fed-exed and need to be notarized. Buyer and seller close at the title company separately... the keys are not given to the home buyer until the loan has funded. Which may be that afternoon or the next morning.

Home buyers and sellers and their agents will be given a HUD-1 Settlement sheet showing the closing costs beforehand... so there are no surprises and the home buyer will know exactly how much to have a cashiers check made out for.

Other closing costs will consist of the title company’s processing fee, recording of the deed, pre-paid interest*, homeowner’s insurance, homeowner’s insurance impounds, property tax impounds, attorney’s fee and the survey depending on what was agreed to in the contract.

*Pre-paid interest - Since mortgage loans are due on the first day of the month and properties can close any day of the month, the interest will be prorated and paid at this time.

Homeowner’s insurance premium is paid at the closing. However, the annual premium is divided by twelve to get an estimated monthly amount and 2 or 3 months payments are then placed to start an escrow account to pay for the insurance renewal.

Property taxes are prorated at the closing and the buyer is responsible for the taxes from the closing date on. Therefore gives the home buyer any prepaid tax credit. Taxes are divided by twelve and 2 or 3 months is held in your impound account and added to each month from what is collected by the mortgage company to pay the taxes as well as your insurance renewal.

Everything will be done to make this a smooth transition for you. As your agent, I will keep in touch with all the parties to make sure there are no last minute glitches.

One thing I would like to suggest is that you keep ALL the papers involved with your move in one place. All receipts, important papers and the settlement papers, etc. may be needed for your income tax preparation or for reference. The title company will be giving you a vinyl pouch for the settlement papers, but receipts and moving papers are important, too.

What I want to emphasize here is that this is not the end of our relationship. I’m here at this point to be your friend and ask that you consider me one.

My goal is to make this a happy memorable experience!

So please don’t forget me! All REALTORS® are not alike! I’m here to help and guide you with all you real estate needs. I would appreciate you telling your friends and family about me and my website. I’d love to help them, too! Even if they don't live in San Antonio tell them about my site, there is a lot of useful information here.

Thank you for choosing me as your Realtor!








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