1. How does Homeowners Concept work?
Homeowners Concept differs from traditional brokers, not in the scope of real estate services provided, but in the amount that you pay for those services. We charge just 1.5% or 3.9% as opposed to the traditional 6 percent commission, which, in turn, helps you retain much more of your equity while still receiving all the real estate services you need and deserve. Streamlined business practices and a focus on marketing properties rather than marketing ourselves allows us to spend our time working with buyers and sellers, as opposed to traditional real estate brokers who spend the majority of their time trying to get new listings.

Buyer Q & A

Answers to Frequently Asked Questions

How does one go about to view a Homeowners Concept Listing?
Some of our listings are shown by the owner while others are shown by one of our real estate Professionals. Either way, looking at a property is simply a phone call or email away.

Are there any real estate costs involved in purchasing a home?
None - The costs a buyer would have to purchase a home would be only with securing a mortgage such as application fees, appraisal fee, credit report, discount points, escrow fees, homeowners' association fees, mortgage insurance, origination fees. If you purchase for cash there are no costs involved.

Should I have another Realtor accompany me?
Bringing another agent will cost the seller more money (typically another 2-2.4% to pay that agent), consequently the seller may not have as much room to move on the price if any at all. The Homeowners Concept Realtor of any particular listing is an extremely experienced real estate Professional (we sell 3-4 times as many homes than the average agent and have 19 years in business vs. 5.5 for the industry). He or she can answer any real estate questions and will prepare all necessary paperwork for you to purchase one of our listings.

Is there a "magic number" that I should be offering on a home?
This is the #1 question asked by buyers. There is no magic number. Most sellers aren't necessarily certain of what they're willing to accept until an offer is made. Based on averages, homes are sold for about 97% of asking price. There are too many variables for buyer and seller though to include here but lets just say that our vast real estate expertise is a tremendous asset during negotiations.

What is the purpose of an appraisal?
Appraisals are required by the lender. Their main focal point is to ensure that the home that's being purchased is worth the purchase price based mainly on comparable sales. The bank will not allow the mortgage to take place if the buyer is overpaying for the house. In the event that the home is not worth what's being offered, 1) The seller reduces their price to meet the value of the appraisal. 2) the buyer can walk away from the deal unharmed or come up with cash to cover the difference. 

Is it required that I get a home inspection?
No, it's not required to get a home inspection but it's advised. Sometimes getting or not getting a home inspection can be used as a negotiating tool. Inspectors are licensed by the state of Wisconsin.

How does the Rent to Own program work?
This is not considered a purchase. Buyer agrees to rent the property until such time that the buyer can get a loan or downpayment for the loan to close on the sale. Buyer would pay an upfront "option premium" which would not be refundable (usually 2+% of sales price). In addition any amount above and beyond an average rent for a similar property can be credited toward the downpayment of the buyer. Homeowners Concept has done hundreds of Rent to Own contracts since 1984.

What is Land Contract?
Land contracts are used in lieu of a mortgage. The land contract spells out the interest rate, the amount financed, the time the land contract will be in force, any balloon payment due and the amortized period (usually 30 years). Seller would hold the land contract and buyer would pay seller a monthly payment. Sellers can only hold land contracts if property is owned free and clear or unless the bank holding the mortgage signs off on it (extremely rare).

What is the difference between "pre-qualified" and "pre-approved"?
If you are "pre-qualified" you have determined, with a loan officer, what price you can afford based on the down payment, your debts and the amount the mortgage company will approve for your mortgage. Being "pre-qualified" is only a determination of your probable credit. If you are "pre-approved", your credit, employment and funds have been approved by the lender.
What is a point?
One point is equal to 1% of the new loan amount. By charging "points", the lender can lower the lower the interest rate of the loan.
What is earnest money?
When you make an offer, you will need to put up an earnest money deposit as a sign of good faith that you are seriously interested in buying a home. That deposit becomes a part of the purchase price and is held in a trust account by the broker until closing at which point the buyer receives a credit for it. Typically, earnest money is 2-3% of the offer amount.
What is title insurance?
Title insurance protects the named insured against loss because of defects, liens, encumbrances, adverse claims or other matters not shown or disclosed to the new owner that attach before date of policy.