Episode 29: Listen Up Homebuyers – Real Estate Terms Explained

Apr 28, 2022Listen Up Home Buyers

Episode Summary

What is a down payment, earnest money deposit, fair market value, market value, and assessed value? What does an appraiser do and why would I need an appraisal? What is post-occupancy? All this is explained and more during this short conversation with attorney & broker Rich Rosa, the president of the National Association of Exclusive Buyer Agents.

Episode Notes

:50 Overview of common definitions in real estate with Rich Rosa president of the National Association of Exclusive Buyer Agents & Victoria Ray Henderson

What is a down payment, earnest money deposit, fair market value, market value, and assessed value

1:11 Rich Rosa on deposits and how they work in the Boston, Rhode Island areas

1:40 the two contract processes in Massachusetts

1:53 what is a purchase of sale agreement?

2:27 FHA loan you’ll put 3.5% down payment

2:37 first time home buyer programs in Massachusettes

2:47 VA Loans

Earnest Money Deposit and the Deposit

3:13 Earnest Money Deposit in the Washington DC Baltimore areas

3:53 What happens to the earnest money deposit if the transaction falls apart?

4:28 In the Massachusetts area it’s different

5:02 at some point you are in the transaction and you cannot wake up the morning of closing and say, “I’m not buying the house”

5:35 Listing office holds the deposit in Massachusetts

7:00 Rich talks about the down payment which is different from the deposit

8:55 Difference between pre-qualification and pre-approval

9:54 Pre-Offer Loan Commitment explained

10:45 When would you waive an appraisal contingency?

11:20 Buffet table example of the options available to home buyers

12:03 What is an underwriter?

13:00 What is a use of occupancy agreement or a post-occupancy agreement?

14:00 What are the limits of the post-occupancy agreement?

15:25 How should a property be delivered to the buyers? What is the meaning of broom clean and free of debris?

16:24 Fair market, assessed value, and appraised value, what are the differences?

16:53 Rich on tax assessments

17:45 What is an appraisal?

18:23 What is a comparative market analysis?

19:08 How does an appraiser appraise a property?

19:36 What is an appraisal contingency?

20:44 Maryland Homestead Tax Credit

Contributors

Victoria Ray Henderson
Rich Rosa
Buyers Brokers Only

Episode Keywords

appraisal contingency, appraised value, appraiser, assessed value, Buyers Brokers Only, down payment, earnest money deposit, fair market value, maryland homestead tax credit, post-occupancy, pre offer loan commitment, pre-approval, pre-qualification, purchase of sale agreement, Rich Rosa, tax assessments, use of occupancy, victoria ray henderson