If you have reached an unofficial agreement or even signed some paperwork beginning the transaction to own a house, you should know that oftentimes what even looks like a sure sale can fall apart. Getting attached to a home only for there to be a problem or technicality in your way can lead to disappointment when your dream home falls out of your grasp. To make everything smoothly, perhaps consider a real estate agent to help guide you through putting up Denver Colorado homes for sale. During the transaction process, be on guard for the common ways that transactions fall through.

Contingencies

A contingency is a condition set into a transaction agreement that must be met before transfer of ownership becomes official. If the buyer or seller has a concern about something getting accomplished before the contract becomes official, then they can work this into the contract just in case. These are promises made by the two parties that protect them in case they need to fall out of the sale if the conditions cannot be performed. A contingency may have to do with passing inspection, or perhaps the buyer wants to include a clause that the sale of the house is not final until they sell their previous home. A contingency that most contracts have is that the buyer must obtain secure financing to purchase the home.

Disclosure

If you are seriously considering a home, there are things about the home that the owner is required to disclose. A disclosure is a required action by the seller to inform the buyer of anything they may need to know after taking over ownership. This could be anything that could affect the future ownership and value of the home. The exact rules may vary from state to state, but this could be something like leaving out that construction project that you know will be starting up later this year, making a lot of noise and covering up a great view. It could be a leaky roof or a termite inspection. A seller can face penalties such as lawsuits if they fail to disclose of a home issue.

Underwriting

An underwriter is a member of the lender’s team that will evaluate the risk involved with lending the hopeful buyer money. The underwriter will take a look at the actual value of the home in case it must be used as collateral and other financial information necessary to evaluate risk.

About PorchLight Real Estate: PorchLight Real Estate Group has the most experienced and knowledgeable Denver real estate agents in Colorado. For more information about homes for sale in Denver CO or specific neighborhood homes please visit www.porchlightgroup.com.

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