The First-Time Buyer's Guide to the East Bay

I'm Tanja Odzak, a REALTOR® with eXp Realty. Your purchase isn't only a financial investment, it's an investment in your security and comfort. With that in mind, here's what you get when we work together:

• A personal meeting to talk through the home buying process
• Help deciding your home buying priorities
• A personalized plan to find the right home for you
• I go with you to see each home
• A professional opinion on the value of every home you're serious about
• A detailed market analysis before you make an offer
• Finding out what matters most to each seller
• A strategy session for every offer we write
• A thorough review of the inspection reports, and I attend the inspections
• Professional representation and negotiation
• A detailed timeline and transaction management, working with your lender and the escrow team to keep closing on track
• Daily or weekly updates on where things stand

Your lender sets the loan amount, but the full cost of buying is more than the down payment. Plan for these:

• Down payment. How much you put down to get your loan. You'll settle this with your lender during pre-approval.
• Earnest money deposit. It shows the seller you're serious. It's collected soon after your offer is accepted, held in escrow, and goes toward your purchase, so think of it as part of your down payment. If you cancel for a reason the contract allows, such as an inspection issue, it comes back to you. If you cancel for a reason the contract doesn't allow, you can lose it.
• Inspections. Paid directly to the inspector at the time of the inspection. The cost depends on the company and the size of the home.
• Appraisal. Your lender orders it. Depending on the lender and the loan, it's paid up front or rolled into closing costs.
• Closing costs. Title and escrow fees, loan fees, property taxes, insurance, recording fees, and more. Your lender gives you an estimate early, so nothing is a surprise.
• City transfer tax. Not every city has one. Where a city does, it's customarily split 50/50 between buyer and seller.

You'll also need home insurance before you close. If the home is in a high fire zone, start shopping for it early.

Most people don't know what title is or how it protects them as a buyer. "Title" refers to a title insurance policy you buy as the buyer, plus a second policy for your lender (a cash purchase doesn't need the second one). The title company researches the property and insures you against problems such as errors in public records, unknown liens, illegal deeds, missing heirs, judgments, unpaid taxes and levies, easements, and assessments. If one of these shows up after you close, you have insurance to help resolve it.

"Escrow" is the neutral third party that handles the money, the documents, and the closing tasks laid out in your purchase agreement. Escrow works out who owes what and who is owed what, pays everyone at closing, and records the change in ownership with the county.