Show Me the Money! Verity the buyer can close on your property.

Author:  Gloria Bumanglag, GRI

 

When an offer comes in, verify the buyer is indeed qualified.

In Southern California,  qualified offers come with

1.       Copy of buyers deposit check (known as earnest money deposit).

2.        Current statements.   Where is the money  for down payment and closing costs?  Bank account?  IRA?  401k?  .

3.       Letter of pre-approval from buyer’s lender.  Is it from a bank or direct lender?  A Broker?  Type of financing.

Listing agents and their sellers are looking for prequalification letters from the top banks, Wells, B of A etc.

 

4.       Ask questions…Does the loan rep know the buyer personally? 

5.       Has the lender received complete application, verified income, employment, money?   Is the money seasoned?   If the loan officer is not cooperating, have the buyer pre qualify with another lender.

 

6.       How does the buyer’s agent know their client.  Past client? Referral?  Craig’s list contact?

 

7.       Both parties should be filling out a Statement of Identification form to verify information is correct and accurate.

The more information you get, the more secure you will be with this buyer.   And please, the buyers should not get the keys before escrow closes.