The big day has arrived. Today you will go to the title or escrow company, sign your name on the dotted line an unbelievable number of times, hand over a check and prepare to take ownership of your new home. What is this all about?
It's also the day that you and the seller will pay "closing" or settlement costs, an accumulation of separate charges paid to different entities for the professional services associated with the buying and selling of real property.
To help you better understand this confusing subject, here are the answers to some of the most frequently asked questions about title, closing and closing costs.
What services am I paying for with closing costs?
You will usually be paying for such things as real estate commissions, appraisal fees, loan fees, escrow charges, advance payments such as property taxes and homeowner's insurance, and title insurance premiums. You may also pay for a pest/termite inspection and a home inspection if you did not pay for these separately.
How much should I expect to pay in closing costs?
The amount of closing costs will vary; however, when buying your home and obtaining a new loan, an estimate of your closing costs will be provided to you as required under the Real Estate Settlement Procedures Act (RESPA) after you submit your loan application. This disclosure provides you with a "good faith estimate" of what your closing costs will be. A final itemized list of charges will be prepared for you as you close your home purchase or sale transaction.
This disclosure of your costs is called the "HUD-1 Settlement Statement," a standard form that clearly shows all charges imposed on borrowers and sellers in connection with the settlement (or closing). RESPA allows the borrower to request to see the HUD-1 Settlement Statement one day before the actual closing date. The settlement agent must then provide the borrowers with a completed HUD-1 Settlement Statement based on information known to the agent at that time.
Can I pay for my closing costs in installments?
The simple answer is "no." Many different parties will have fulfilled their responsibilities and expect payment at closing. The title or escrow company will disburse funds to each of those parties, pursuant to the escrow instructions at closing.
Can I pay my closings costs with a personal check?
Again, the simple answer is "no." Your closing funds will most likely be required to be in the form of a cashier's check, issued by an institution within the state of your purchase, and payable to the title company or escrow office conducting the closing. A personal or out-of-state check could cause a delay in your closing due to the delay required to "clear the check."
How much can I expect to pay for Title Insurance?
This point is often misunderstood. Although the title company or escrow office usually serves as a meeting ground for closing the sale, only a small portion of your total closing fees are actually for title insurance protection.
Your Realtor or title company representative can give you an exact amount. The title policy you pay for is good for as long as you and your heirs own the property.
Why are separate owner's and lender's title insurance policies issued?
Both you and your lender will want the security offered by title insurance. Your home is an important purchase, and you will want to be certain your home is yours, all yours. Title insurance companies insure your rights and interests in order to protect you against claims. Your lender is looking to insure the enforceability of their lien on your property and the "marketability" of your loan. What is "marketability?" Your local lenders will "originate" your loan, but often, they will sell it to an agency or investor. This investor, who may never see the property, needs to know that he has a valid and enforceable lien. Title insurance is the way of making certain. Without a current title policy, the loan is essentially unmarketable.
What does my Title Insurance dollar pay for?
Title insurers, unlike property or casualty insurance companies, operate under the theory of "risk-elimination." Risk-elimination can only be accomplished after intensive risk identification.
Title companies spend a large portion of their revenue each year collecting, storing, analyzing and maintaining official records regarding title to real property. Issuing a title insurance policy is highly labor-intensive, based upon the maintenance of a title "plant" or library of title records, in some cases dating back over hundreds of years. Each day, recorded documents affecting real property are posted so when a title search on a given parcel of property is requested, the information is already available for retrieval. Trained title examiners can identify the rights, if any, others may have in your property, such as liens, legal actions, disputed interests, rights of way and other "encumbrances" on your title. Before closing your transaction, you can seek to "clear" those encumbrances, which you do not wish to assume.
The goal of title companies is to conduct such a thorough search and evaluation of public records that no claims will ever arise. Of course, this is impossible in an imperfect world, where human error and changing legal interpretations make 100% risk-elimination impossible. When claims do arise, title insurance companies have claims personnel to make sure your property rights are protected under the terms of your policy.
To conclude, with your title insurance policy, you are paying for a team of professionals who work together to deliver you a title insurance policy that represents "protects your ownership of the real property you bought."
Where can I get straight answers on Title and Closing costs?
Your first stop for all real estate-related questions should be with your Realtor. But, don't be surprised if he or she refers you to a title or escrow company representative who can give you the most complete and accurate answers any of your questions.
About Me
- Natalie West Real Estate Professional with The West Group and brokerage United Realty Group, LLc.
- BROWARD COUNTY AND PALM BEACH COUNTY, FLORIDA, United States
- Natalie West is a highly experienced and recognized Real Estate agent with The West Group of United Realty Group! Natalie has had the real estate bug since she was a young woman. She started her career by owning and operating a five star title company at the age of 19. After receiving her Real Estate license, Natalie assisted a top producing Realtor while raising her young son. Natalie then decided to pursue Real Estate full- time for the past 13 years and fell in love with helping others to attain their dreams. Real Estate is Natalie's Passion, not just her job. Natalie truly loves what she does and is excited to assist you with your Real Estate needs.
Wednesday, April 13, 2011
Wednesday, March 30, 2011
Setting and Achieving Goals
Along the way I have learned…
People set their goals differently, depending on their current situation, resources, physical capacity and other factors. You can, however, follow some guidelines to make sure that your goals are credible and possible. Too many individuals set their goals too high unknowingly, only to lose and get disappointed for life. Here are some tips for you.
Being Specific
Goals need to be specific, so that you know which part of the process you’re currently in and the particular ways on how you will achieve it. Most people have goals to get promoted, get rich, improve relationship and the like, but these are very vague and your mind can become confused about what you truly mean. General descriptions usually do not have boundaries, so you always leave room for mistakes and compromise. If you want results that you can be proud of, be specific.
To be specific, you need to include the full details. Write down something like, “I want to get $1 million by October of this year.” or “I need to become key supervisor of the sales division by next week.” or “I want my kids, William and Kylie, to become best friends beginning tomorrow.” Include the names, the position, the amount, the date and everything else needed to train your mind to start working towards that goal.
Being Measurable
Goals need to be measurable so that you can gauge how well you have done lately. To help measure your paths and goals, you should include measurable details. For your job, you can include details such as the number of hours you’re working, the amount you’re earning, the staff you’re handling, etc. For the goal of money, you can include details such as the amount you want to have as a whole, the number of companies or businesses you own, your contact persons, etc. Always have things and items to be measured so you can understand how close you are to getting your goals. If your goal is to earn $100,000 a month, then you know you’re halfway there if you’re already earning $50,000 a month.
Being Attainable and Realistic
Only set goals that can possibly be accomplished. Some people set goals that are too high to reach, that they are almost setting up things that are impossible. Make sure you only set objectives that you can reach within a given amount of time, provided the current resources and capabilities you have. Some examples of impossible goals are doubling your salary overnight, getting a promotion higher than your boss’s position, etc. Some goals can be achieved faster compared to others if you have some strengths and paths to back these up. Always include a strategic plan for big objectives.
Time-Bound
Set deadlines to achieve your goals or else you’ll never going to finish anything. Stay specific when setting timelines and schedules. For example, indicate things like “To spend an hour with my wife everyday starting tomorrow (indicate exact date and year).” Setting the exact time and date will spur you to start working on your goals, instead of putting it off for another available time. Some goals can take years to accomplish so it is wiser to break these down into smaller objectives, still complete with deadlines. You can finish everything in a sequence to finally reach the biggest one.
People set their goals differently, depending on their current situation, resources, physical capacity and other factors. You can, however, follow some guidelines to make sure that your goals are credible and possible. Too many individuals set their goals too high unknowingly, only to lose and get disappointed for life. Here are some tips for you.
Being Specific
Goals need to be specific, so that you know which part of the process you’re currently in and the particular ways on how you will achieve it. Most people have goals to get promoted, get rich, improve relationship and the like, but these are very vague and your mind can become confused about what you truly mean. General descriptions usually do not have boundaries, so you always leave room for mistakes and compromise. If you want results that you can be proud of, be specific.
To be specific, you need to include the full details. Write down something like, “I want to get $1 million by October of this year.” or “I need to become key supervisor of the sales division by next week.” or “I want my kids, William and Kylie, to become best friends beginning tomorrow.” Include the names, the position, the amount, the date and everything else needed to train your mind to start working towards that goal.
Being Measurable
Goals need to be measurable so that you can gauge how well you have done lately. To help measure your paths and goals, you should include measurable details. For your job, you can include details such as the number of hours you’re working, the amount you’re earning, the staff you’re handling, etc. For the goal of money, you can include details such as the amount you want to have as a whole, the number of companies or businesses you own, your contact persons, etc. Always have things and items to be measured so you can understand how close you are to getting your goals. If your goal is to earn $100,000 a month, then you know you’re halfway there if you’re already earning $50,000 a month.
Being Attainable and Realistic
Only set goals that can possibly be accomplished. Some people set goals that are too high to reach, that they are almost setting up things that are impossible. Make sure you only set objectives that you can reach within a given amount of time, provided the current resources and capabilities you have. Some examples of impossible goals are doubling your salary overnight, getting a promotion higher than your boss’s position, etc. Some goals can be achieved faster compared to others if you have some strengths and paths to back these up. Always include a strategic plan for big objectives.
Time-Bound
Set deadlines to achieve your goals or else you’ll never going to finish anything. Stay specific when setting timelines and schedules. For example, indicate things like “To spend an hour with my wife everyday starting tomorrow (indicate exact date and year).” Setting the exact time and date will spur you to start working on your goals, instead of putting it off for another available time. Some goals can take years to accomplish so it is wiser to break these down into smaller objectives, still complete with deadlines. You can finish everything in a sequence to finally reach the biggest one.
Friday, February 25, 2011
TIPS FOR GOOD LANDSCAPE IN SOUTH FLORIDA:
Grass:
• Grass tends to grow year round in South Florida. Summer growth is more pronounced because of warmer weather, longer daylight hours, and heavy rainfall, which provide natural fertilization.
• Winter or cooler months produce slower growth because of a lack of the above. When soil temperatures drop below 55 degrees, growing and nutritional intake diminish greatly.
• Mowing frequency during high growth periods should increase to 7–10 day intervals. Off season cutting can drop to 2 – 3 weeks if cool weather prevails.
Water:
• Proper watering is critical to the health and appearance of your turf. During the warmer months watering should be done as often as 3 times weekly, only if rainfall is absent. However, during periods of adequate rainfall, your irrigation system should be shut off as too much water is as equally damaging to turf as drought.
• Most of us turn our irrigation system on and forget about them. Adjusting properly for current conditions is critical. The best frequency to water is actually determined by the turf.
• The University of Florida states that you should water at the initial wilt of the grass blade. This is impractical for most of us, but attention to frequency based on conditions is important. If not under water restriction, the generally accepted rule of thumb is 1 to 2 times weekly during the cooler months, and 3 times weekly during summer months, unless we are having adequate rainfall.
• The amount of water applied is also critical. The usual misconception we encounter is that watering in small amounts more often is best. It is far more important to irrigate long enough for the water to penetrate to the root zone. Failure to penetrate the root zone creates a shallow root system.
• One inch of water allows for several inches of soil penetration promoting a healthier deep-rooted turf.
• The proper amount of ¾ to 1 inch is determined by running time. Most systems that are properly working will furnish this amount in about 25 to 30 minutes. If you have a lot of time on your hands, place a pie pan on your lawn just before the next cycle and examine it afterwards. You can better judge the time requirements in this manner. If the pie pan is full after the watering cycle, the time is adequate. If not, adjust accordingly.
Sunlight:
• Turf is best suited for full sunlight. Highly shaded areas cause the thinning of turf. Selective pruning of trees will allow more sunlight and will help reduce this effect. There are also varieties of turf such us palmetto sod (St. Augustine) which are more tolerant to shade, but even this hybrid performs best in full sun. It is important to make the proper choice of plant material based on its tolerance for shade or sun.
Proper Maintenance:
• Mowing (proper height and frequency): St. Augustine looks best when the cutting height is 3 inches.
• Summer cutting: 7 to 10 day intervals.
• Pruning and trimming: selective trimming and pruning is always best for trees and shrubs.
• Heavy pruning and hat raking of trees exposes previously shaded portions of the tree or bush causing sunburn. Hat racking of trees also promotes sucker growth at each cut, which can lead to the decline and possible death of the tree.
Nutrition, Insects, and Diseases:
• A good pest and nutritional program enhances the beauty and health of all landscape material. Nutritional deficiencies can appear as yellowing or off color leaves of palm fronds. Stunting can also occur as a result of insufficient nutrition. Insects can damage plants by chewing on the leaves, leaving a notching effect. Other insects pierce the leaf sucking the chlorophyll from the plant causing yellowing, blooms to drop, and leaves to shrivel.
Diseases:
• There are a wide variety of fungal pathogens present in the soil. When conditions exist for development, the fungal spores will grow and cause damage to turf or plants. Some fungi are more suited for cooler weather while others flourish during warmer months. Over watering is usually the key ingredient that aides in their development. Fungicides are applied to control the growth of spores reducing damage and allowing the turf or plant to return to normal appearance. Multiple applications may be required.
• Weeds occur during all seasons. Weeds are a symptom of poor turf care including scalping, insect problems and over or under watering. Weeds are divided into broad-leaf, sedges, and grassy weeds. Specific herbicides are applied depending on the type of weeds present.
• Weed control is usually performed during the cooler months to avoid stunting or yellowing of the turf. Some products allow for treatment in all seasons, but caution must be used. Even so, stunting or yellowing may occur.
• Grass tends to grow year round in South Florida. Summer growth is more pronounced because of warmer weather, longer daylight hours, and heavy rainfall, which provide natural fertilization.
• Winter or cooler months produce slower growth because of a lack of the above. When soil temperatures drop below 55 degrees, growing and nutritional intake diminish greatly.
• Mowing frequency during high growth periods should increase to 7–10 day intervals. Off season cutting can drop to 2 – 3 weeks if cool weather prevails.
Water:
• Proper watering is critical to the health and appearance of your turf. During the warmer months watering should be done as often as 3 times weekly, only if rainfall is absent. However, during periods of adequate rainfall, your irrigation system should be shut off as too much water is as equally damaging to turf as drought.
• Most of us turn our irrigation system on and forget about them. Adjusting properly for current conditions is critical. The best frequency to water is actually determined by the turf.
• The University of Florida states that you should water at the initial wilt of the grass blade. This is impractical for most of us, but attention to frequency based on conditions is important. If not under water restriction, the generally accepted rule of thumb is 1 to 2 times weekly during the cooler months, and 3 times weekly during summer months, unless we are having adequate rainfall.
• The amount of water applied is also critical. The usual misconception we encounter is that watering in small amounts more often is best. It is far more important to irrigate long enough for the water to penetrate to the root zone. Failure to penetrate the root zone creates a shallow root system.
• One inch of water allows for several inches of soil penetration promoting a healthier deep-rooted turf.
• The proper amount of ¾ to 1 inch is determined by running time. Most systems that are properly working will furnish this amount in about 25 to 30 minutes. If you have a lot of time on your hands, place a pie pan on your lawn just before the next cycle and examine it afterwards. You can better judge the time requirements in this manner. If the pie pan is full after the watering cycle, the time is adequate. If not, adjust accordingly.
Sunlight:
• Turf is best suited for full sunlight. Highly shaded areas cause the thinning of turf. Selective pruning of trees will allow more sunlight and will help reduce this effect. There are also varieties of turf such us palmetto sod (St. Augustine) which are more tolerant to shade, but even this hybrid performs best in full sun. It is important to make the proper choice of plant material based on its tolerance for shade or sun.
Proper Maintenance:
• Mowing (proper height and frequency): St. Augustine looks best when the cutting height is 3 inches.
• Summer cutting: 7 to 10 day intervals.
• Pruning and trimming: selective trimming and pruning is always best for trees and shrubs.
• Heavy pruning and hat raking of trees exposes previously shaded portions of the tree or bush causing sunburn. Hat racking of trees also promotes sucker growth at each cut, which can lead to the decline and possible death of the tree.
Nutrition, Insects, and Diseases:
• A good pest and nutritional program enhances the beauty and health of all landscape material. Nutritional deficiencies can appear as yellowing or off color leaves of palm fronds. Stunting can also occur as a result of insufficient nutrition. Insects can damage plants by chewing on the leaves, leaving a notching effect. Other insects pierce the leaf sucking the chlorophyll from the plant causing yellowing, blooms to drop, and leaves to shrivel.
Diseases:
• There are a wide variety of fungal pathogens present in the soil. When conditions exist for development, the fungal spores will grow and cause damage to turf or plants. Some fungi are more suited for cooler weather while others flourish during warmer months. Over watering is usually the key ingredient that aides in their development. Fungicides are applied to control the growth of spores reducing damage and allowing the turf or plant to return to normal appearance. Multiple applications may be required.
• Weeds occur during all seasons. Weeds are a symptom of poor turf care including scalping, insect problems and over or under watering. Weeds are divided into broad-leaf, sedges, and grassy weeds. Specific herbicides are applied depending on the type of weeds present.
• Weed control is usually performed during the cooler months to avoid stunting or yellowing of the turf. Some products allow for treatment in all seasons, but caution must be used. Even so, stunting or yellowing may occur.
Monday, February 14, 2011
Tuesday, February 8, 2011
Telling the truth
Telling the truth can be a complicated business. This was one of the first lessons I learned at a very tender age. Still unable to grasp the importance of the school timetable in my first week, I rolled up for class 20 minutes late having been diverted by a group of my friends. By the time I walked in, the teacher was so fraught that lying seemed to be the best option. Five minutes later I was before the principle because my colorful story was not believed.
At the end of the day when my mother came to collect me she was hauled in to the administration office where I was forced to recount my rather elaborate story before being made to apologise to the grown-ups and promise to always to tell the truth. Just as we were about to leave she reminded my mother that the school day actually finished at 3:30pm and noted that she had arrived five minutes after the bell. My mother was really annoyed; angry with me for telling lies and irritated by the principle’s observation on the importance of time-keeping on her part.
At the end of the day when my mother came to collect me she was hauled in to the administration office where I was forced to recount my rather elaborate story before being made to apologise to the grown-ups and promise to always to tell the truth. Just as we were about to leave she reminded my mother that the school day actually finished at 3:30pm and noted that she had arrived five minutes after the bell. My mother was really annoyed; angry with me for telling lies and irritated by the principle’s observation on the importance of time-keeping on her part.
On seeing me the next day the principle asked me what my mother had to say about the previous day’s events.
"Oh," I responded brimming with determination to only tell the truth, "she thinks you are an interfering, old busybody."
I realized there and then that telling the truth can sometimes be painful.
Why am I recounting this childhood story for you? Telling the truth in business, as I have now discovered, can be a rather precarious thing to do and certainly does not endear you to people in power or seeming authority. Tact and sensitivity are necessary accompaniments for telling the truth. When facts need to surface, ethical standards work in positions to influence what is really happening in the landscape of real estate. If you are too afraid to tell the truth, or even cover the most basic facts and market trends in an open way, then you are in the wrong profession and doing a great disservice to real estate and your clients.
Ours is a noble profession. Those who have become an extension of an agency which uses fear and intimidation with their clients, are not worthy and at the end of the day the truth will be out there. Telling the truth might be an act of courage but it is also a powerful entity, which can open doors, and mobilize people to fight for what is right and what is just.
Why am I recounting this childhood story for you? Telling the truth in business, as I have now discovered, can be a rather precarious thing to do and certainly does not endear you to people in power or seeming authority. Tact and sensitivity are necessary accompaniments for telling the truth. When facts need to surface, ethical standards work in positions to influence what is really happening in the landscape of real estate. If you are too afraid to tell the truth, or even cover the most basic facts and market trends in an open way, then you are in the wrong profession and doing a great disservice to real estate and your clients.
Ours is a noble profession. Those who have become an extension of an agency which uses fear and intimidation with their clients, are not worthy and at the end of the day the truth will be out there. Telling the truth might be an act of courage but it is also a powerful entity, which can open doors, and mobilize people to fight for what is right and what is just.
Everyone is entitled to their opinions but the truth is empowering to those who speak it and listen to it.
Wednesday, February 2, 2011
Florida foreclosure crisis: Florida foreclosure cases dramatically slowed in court system - South Florida Sun-Sentinel.com
to read more on the South Florida Trend in real estate. When you choose Natalie
West and Coldwell Banker to handle your South East Florida real estate needs,
you choose a team of realtors®
who care about you and your family. Buying or selling a home is
always more enjoyable when you work with professionals who will listen to your
needs and who will work together with you to achieve your objective. We are
very familiar with all types a real
estate in Plantation Florida and it’s surrounding areas. We are dedicated to helping you make
intelligent, informed decisions and to providing you with exceptional service.
Thursday, January 20, 2011
It is said, "What Goes Around - Comes Around."
I agree with Kimberly Miller's viewpoint written in the SunSentinal. (Please read the article referenced.) Unprincipled people know how sizzling the leasing promotions are today and they are ruthless on the unsuspecting public. They know this is just another place for them to make money.
Dishonest schemers often claim to be a religious group member who are stationed out of the country and need to rent their home. Or they claim to be living in another state and cannot afford the second home anymore. These scammers will post a home's photos on Craigslist with a price and then send interested renters a written agreement, with requests for Social Security numbers and other personal information.
Dishonest schemers often claim to be a religious group member who are stationed out of the country and need to rent their home. Or they claim to be living in another state and cannot afford the second home anymore. These scammers will post a home's photos on Craigslist with a price and then send interested renters a written agreement, with requests for Social Security numbers and other personal information.
As a real estate professional, I do my best to talk about this type of news to clients, friends and family. Word of mouth travels fast and spreading useful news is always good. It is rewarding to feel great about what I do for a living. When my knowledge and experience can help others, especially during these difficult times where many families are going through financial hardship for the first time in their lives, it is a pleasurable feeling.
Miller, K. (2010). Craigslist scheme preying on unsuspecting south florida renters. SunSentinal, Retrieved from http://articles.sun-sentinel.com/2010-07-21/business/fl-craigslist-scammers-real-estate-20100721_1_craigslist-rental-market-preying
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