When it comes to buying a house there is obviously a lot to consider. Likewise, there is a lot of paperwork involved in buying a house these days. There once was a time when an offer to purchase was a one page form in carbon copy. However, today there is a lot of forms. This guide is to help you understand each of the documents and what they mean to you. Here we will go over each of the following:

  1. -Working with Real Estate Agents Brochure

  2. -Buyer Agency Agreement

  3. -Professional Services Disclosures

  4. -NC Residential Property Disclosures

  5. -Lead Based Paint Disclosures

  6. -FHA/VA Financing Addendum

Working with Real Estate Agents: This document was designed to inform and protect the public and consumers about the types of agency. Once upon a time all agents worked for the seller and buyers were often taken advantage. In the modern age of real estate we liken the agency relationships to sports. If the seller is the red team then the red teams coach would be their listing agent. If the buyer is the blue team, then the buyer’s agent is their coach. Like any sport both teams get their own coach to win the best deal. If in the event a listing agent should ever represent the buyer as well they would act more like the referee. This situation would be considered dual agency.

Buyer Agency Agreement: This is the contract between you and your buyer’s agent. The terms to notice when you are signing this form with your agent are the duration of the agreement, “retainer fees,” and compensations. If you sign up with anyone on the Carolina Crew Realty’s team you will have an option to terminate this buyer’s agreement at anytime. We do not hold any of our clients to a contract, we built our business on referrals and repeat business. Also, some agents charge “retainer” or “document” fees. This is money up from before your ever purchase a home. Carolina Crew Realty does not charge any upfront fees, the only time we are paid is once you close on the house and our commission is paid by the seller.

Professional Services Disclosure: This form is basically a checklist of all the services and inspections that you as a buyer can have in the purchase of property. This form asks you to select or waive each service and name the provider. Some of the services that are mentioned include home inspection, termite inspection, survey, and several others. This way everyone is clear on exactly what needs to be completed before closing and no inspection or service goes un-addressed.

NC Residential Property Disclosures: This is a form that the sellers fill out when they list the house. In short is checklist that the seller fills out about everything they know about the home. For example, age of the roof, type of plumbing, electrical updates, etc. When you make an offer the copy that was filled out by the sellers is also signed by you as the buyers. Every home sold must have this form signed by buyer and seller except for bank foreclosures and new construction. In some cases you may get a form that is marked as “no representation” all the way down.

Lead Based Paint Addendum: This is a from created as the result of adverse health effects of lead based paint in homes. Typically lead based paint is not harmful unless you ingest it. The biggest issues with homes where babies in their cribs that would chew on window sills. Only homes built in or before 1978 are required to have this lead based paint disclosure. It usually accompanies the NC Residential Property Disclosures when you are making an offer.

FHA/VA Financing Addendum: This form is used when you are making an offer and you are getting financing with an FHA or VA. This form is just to make everyone aware of the financing type and that the purchase price must be at or below appraised value.