In most cases, a home is the biggest purchase of a person’s life. So, it’s always good to ask questions. American Bank & Trust has worked with buyers and realtors alike on the process.

Kate Patrick

Kate Patrick. Broker Associate with 605 Real Estate

And we invited Kate Patrick of 605 Real Estate to share her experience and expertise on the home buying process. Patrick has a passion for people and a passion for real estate. With years of experience in both assisting in buying and selling homes in the Sioux Empire, she pays close attention to every detail of her transactions. “I pride myself of communicating the process thoroughly. My goal is always to help people get from contract to closing with a personal touch.” Below, Patrick answers a few common questions from homebuyers.  


What are the costs I will incur during the buying process?

I use a step-by-step guide so buyers always know what the next step looks like and what the costs include. In my buyer consultations, I go through the steps so there are no surprises. During the buying process you will have two initial expenses. The first is an earnest money deposit. This shows your good faith and ability to purchase. The deposit is credited back to the buyer at the time of closing. The other expense is the fee for a home inspection. This is the responsibility of the buyer and typically occurs within 14 days of the offer being accepted. The buyer’s mortgage lender may require an appraisal deposit as well. The remaining funds, such as down payment and closing costs, aren’t due until the day of closing.  


How much do I have to pay you as a realtor?

Some home buyers and sellers don’t want a realtor because they’re afraid of fees and closing costs. Every sale is a little different. But a majority of the time, the realtor fees are paid for by the seller in the transaction.  


How long does it take to close?

The closing date is a negotiable term. But typically in our market, it takes anywhere from 30-45 days from the time of offer acceptance and closing.  


Should I get pre-qualified prior to looking at homes?

Yes, yes and yes! Many factors go into whether or not you are ready to purchase a home and talking with a mortgage lender is a must. They help you understand exactly what you are comfortable spending and what your budget is. In addition, the lender will break down the fees and costs associated with buying a home. I always remind buyers that even if you are pre-qualified up to $250,000, are you comfortable with the monthly mortgage payment?  


Talking to your American Bank & Trust Mortgage Expert

Another important reason to talk with a bank before looking at homes is to fully understand the costs associated with buying a home.  Many home buyers who don’t understand the difference between a down payment, prepaid items, and escrows, which can be thoroughly explained by your American Bank & Trust mortgage expert. Being educated makes a big difference in buying a home. There are lots of tools you can use to understand the general process. However, it’s always great to engage your mortgage banker and realtor. Pick the right ones and lean on their expertise. You’ll likely have a better home and a better experience. Considering buying a home? Or have questions about a mortgage loan? Talk to American Bank & Trust mortgage loan officer today. We’ll do our part to make sure you have a great experience in getting a great home.


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