Buyer’s Checklist

• Check with your new lender about their requirements for proof of hazard insurance, including whether or not a master insurance certificate (if a condo) will be needed. In most cases, a termite inspection will also be needed. Your real estate agent will assist with the termite inspection (some condos also need termite inspections). In most contracts the seller has agreed to pay for the termite inspection as well as any damage repairs required prior to closing. Your agent should ask the seller’s agent to have the termite inspection arranged as soon as possible.
  
  
• If you are buying property with another person (married or otherwise) but only one of you is borrowing the funds (e.g. one person is on the Note), each person to be vested on the Deed must attend closing in order to sign the Deed of Trust encumbering the property for the lien to be perfected. Please let us know ASAP if title is to be vested in the names of persons other than the borrower.
  
  
• Make sure that you have provided both Tenacity Settlements and your lender with your complete legal name for title purposes. For example, if you use your middle initial, as opposed to your middle name, make sure both your lender and our office know about it. We also need to know how the buyers will take title (Tenants in Common, Joint Tenants, or Tenants by the Entirety). We can explain the benefits of each method to you.
  
  
• If this is not a condominium, we will require a survey. Please note that there are many kinds of surveys. You can save money if the seller of your property can give us a recent copy of his/her old survey. Be aware that the survey we will otherwise order is cursory and will not verify boundary lines; your owner's title insurance policy will take exception to boundary disputes. If you want a more thorough "boundary" survey (the cost is higher and it takes several weeks) you must let us know in advance.
  
  
• If you are the subject of any tax liens, court judgments, bankruptcy proceedings, or mental competency proceedings, please let us know. We will find out anyway, and can help you explain these items to your lender in a better light.
  
  
• If you are over 65 years of age and want to apply for the D.C. Senior Citizen's property tax exemption, please advise us. Buyers in D.C. who intend to owner-occupy their property and pay D.C. income taxes are eligible for the $60,000 "Homestead Deduction" when calculating their real property tax assessment. See the form of application in "Forms". We will submit the application for you, and obtain a receipt for the filing.
  
  
• Certain "low income" purchasers in DC may be eligible for the "tax abatement" program, saving the transfer and recordation tax normally assessed, and exempting the property from the real property tax for five years. To qualify, a single person's gross income as shown on IRS Form 1040 must be below $50,400. Call us if you believe you might qualify.
  
  
• If the buyer is a corporation, a limited partnership, or a limited liability company please produce a Certificate of Good Standing prior to closing that is no more than thirty (30) days old. In the case of a corporation, we also need certified copies of corporate resolutions authorizing the purchase and encumbrance of the property. Call us and we will explain how to order the Certificate.
  
  
• How much do I bring to settlement? Sometimes we will not be able to give you an accurate answer until the day of settlement. You must bring a certified check to settlement. You should also bring a personal check for any additional payment due, which we will calculate at the table. We can also accept a wire transfer of your funds. If you must send us a wire, the wire must be received and acknowledged by our bank on the morning of the day of settlement. Please call us for wire instructions. All funds and checks should be made payable to "Tenacity Settlements."
  
  
• There are two types of title insurance policies. Your lender will require a "Mortgagee's Policy" that does not afford you, the buyer, any coverage. You should also obtain an "Owner's Policy" of title insurance which provides title insurance coverage to you for a small additional cost. If you are uncertain as to whether you should obtain an Owner's Policy of title insurance, you are urged to seek independent advice.
  
  
• You should ask your lender to send you a copy of the appraisal for which you paid. You should tell them to include it with the loan documents. We in turn will include it with your settlement documents distributed at closing.
  
  
• A few days before settlement, a buyer should arrange for the utilities to be placed in the buyer's name.

Contact:
(866) 496-0235
info@tenacitysettlements.com