How to Financially Qualify Home Buyers — and Home Builders One of the things you get pretty good at (hopefully) in the course of representing home Sellers for 12+ years is, how to qualify — that is, get comfortable with — the Buyer’s financing. To be sure, I have a preferred list of questions I like...Read More
Doing Deals on Napkins — and Toothpicks; or, “Bend it Like Beckham Buffett?” Probably Not [Editor’s Note: The views expressed here are solely those of Ross Kaplan, and do not represent Edina Realty, Berkshire Hathaway, or any other entity referenced. Edina Realty’s ultimate parent company is Berkshire Hathaway, whose CEO is Warren Buffett.] If Warren...Read More
Doing Your Homework Before You Buy What’s “due diligence?” It depends on what you’re buying. If it’s a dozen eggs . . . it’s checking to see that none are cracked. If it’s a multi-billion dollar corporation, it consists of poring over the company’s books, auditing its cash and accounts receivable, scrutinizing the company’s intellectual...Read More
Why Cash Reserves Can Be Misleading At least in Minnesota, anyone buying a property in a Common Interest Community (“CIC”) — typically, a condo or townhome — has 10 days after completing the Purchase Agreement to review the related Association documents. What should Buyers be on the lookout for? Not the Association’s pet policy —...Read More
Buyers Who Hear Footsteps (i.e., Backup Offers) “Offer accepted contingent on 3 weeks of due diligence by builder. Accepting back up offers now. All showings through listing agent.” –Agent Remarks, MLS Normally, “Contingent Upon: Other” on MLS means a property — typically a condo or townhome — is under contract, but that the Buyer is still reviewing...Read More
What Did Buyer #2 Know? (and When Did They Know It?) The vast majority of inspections go smoothly, resulting in a nominal reduction in the sales price (if that). On the relatively rare occasions when a Buyer’s inspection turns up a major issue (or several), most of the time, the deal still holds together —...Read More