Sonoma County Real Estate Buyers Guide

How I Can Help You

I will apply my knowledge and expertise to help you find the right home, meet your needs and exceed your expectations of service.

Find Out How This Service Costs You Nothing

Here is what you can expect from me:
• I will work with you at every stage of the home finding process, from the initial selection of properties to view, through the presentation of a purchase offer, to obtaining financing and the completion of the transaction.

• Communication is important. We will want to agree to a system of regular contacts (whether in person, on the phone, by mail, fax or e-mail) so that you can be kept informed at all times.

• I will give you reliable information and solid advice so that you can make informed decisions. Please don’t hesitate to ask questions.

It is my hope that you will be so pleased with my service that you will turn to me for advice on your future real estate needs.

Components of a Mortgage

A monthly mortgage payment can contain several components:

Principal
The original balance of money loaned. As the loan is paid over time, the principal is the remaining loan balance.

Interest
The charge for the use (loan) of money. The interest rate remains constant in a Fixed Rate Mortgage. The rate can vary according to specified guidelines over the life of an Adjustable Rate Mortgage (ARM).

Property Taxes
The county assessor charges property taxes based on the value of your home. Two tax installments are due each year.

Insurance
Protection against loss resulting from certain hazards, such as theft or fire. The standard policy pays replacement costs, minus depreciation based on actual cash value. You will need to obtain homeowners insurance from your own insurance agent.

Private Mortgage Insurance (PMI)
Loans with smaller down payments involve greater risk for the lender, who requires protection in case the loan goes into foreclosure. Without PMI, lenders would be reluctant to offer loans with lower down payments. Anything less than 20% down payment usually requires PMI.

Confused abut lending terms and definitions?

Tips and information on choosing a lender.

Agency Relationships

When real estate professionals work with buyers and sellers, “agency” relationships are established. As you start working with a real estate professional, please ask for a clear explanation of your state’s/province’s
current agency laws, so that you understand these important issues.

There are three kinds of agency relationships:

• Buyer’s agent — represents the buyer during the home buying process. The buyer’s real estate professional (agent) has a fiduciary responsibility to represent the buyer’s best interests including reasonable care, loyalty and confidentiality.

• Seller’s agent — represents the interest of the seller and has a fiduciary responsibility of reasonable care, loyalty, confidentiality and disclosure to the seller. A seller’s real estate professional (agent) works to assist the seller in locating a buyer and in negotiating a transaction suitable to the seller’s specific needs.

• Disclosed dual agent — represents the interests of both the buyer and the seller, during the same transaction. A dual agent has responsibilities to both buyer and seller and must act in the best interest of both parties.

Real Estate terms and definitions.