Question 1

What Is a Transaction Coordinator?

Accepted Answer

Transaction coordinators perform critical functions in real estate transactions. Real estate agents often use transaction coordinators to handle the administrative tasks associated with a home sale/purchase. Chances are if you have sold or purchased a house with an agent you have at some point worked with a transaction coordinator.

Your transaction coordinator will guide you through the complex escrow process and will make sure all your paperwork is completed, time frame obligations are adhered to, and legal disclosures are filled out. The following is a list of their typical services.

Open escrow Provide legal disclosures Prepare paperwork for digital signatures Order Natural Hazards Disclosure Reports Arranging inspections if needed Ensure all parties adhere to contractual deadlines Ensure all documentation is submitted on time Communicate/Coordinate with all parties to ensure smooth closing When the seller and buyer complete the negotiation process through Homepie’s website and come to an agreement, a Purchase Agreement is generated and sent to all parties for digital signature. Once all parties have signed the Purchase Agreement, a Homepie representative will reach out to you with information about a transaction coordinator. Transaction coordinators take you from contract to close of escrow. This is an optional service that is provided by an independent organization. Homepie highly recommends the use of a transaction coordinator. They are essential to help facilitate t

Question 2

What Is a Seller Credit?

Accepted Answer

When a buyer is writing an offer, they will notice there is an option to ask for a seller credit. This is purely optional and is a negotiable item just like everything else.

Sometimes a buyer will want to ask for a seller credit to help with the closing costs so that they can purchase the property with less money out of pocket. It is essentially a way to finance the closing costs.

Another common situation where a seller credit may apply is in the case that a buyer does an inspection, finds a problem with the property, and then a seller credit is negotiated in lieu of a repair being made.

There is a way to structure an offer to where it can be a win-win for buyer and seller. You can increase the purchase price by the amount of the seller credit, and include a seller credit. In that case, the seller could still net what they want, and the buyer can get the seller credit they need to help make the purchase possible with less out of pocket costs.

If the buyer is getting an appraisal, you will want to exercise caution when structuring the deal this way. The property will need to appraise at the purchase price, so if it's inflated too much to cover the credit, the appraisal could come in low and you'll need to renegotiate. Appraisals can vary, so if it's a small and reasonable amount relative to the purchase price, it often isn't a problem.

If you are a buyer writing an offer and asking for a seller credit up front, it would be a good idea to mention the reason why to the sel

Question 3

Are There Real Estate Agents Involved in the Sale?

Accepted Answer

Homepie’s platform is designed to help buyers and sellers complete a sale from beginning to end. Neither the buyer nor seller needs a real estate agent which allows an overall savings of up to 6% or more of the purchase price; the typical commission a real estate agent would charge, depending on your area.

We do offer a flat-fee MLS option where you pay us a fee to simply list the property on the MLS, however, we do not represent you if you do this. There is no listing commission due, but the MLS does require all listing to have an offer of commission to a buyer’s agent.

We do offer other packages to those sellers who would like some agent representation and advice. See our Pricing page for details of all current product offerings.

The MLS is something we highly recommend. It gives your listing the amount of exposure needed to compete with all other properties for sale and it gets your listing in front of the right buyers. Adding your listing to the MLS automatically syndicates your listing to all of the major real estate websites like Zillow, Realtor.com, and Redfin. These sites have millions of monthly visitors so this is a huge help for serious sellers. The value of the market exposure you get typically far exceeds the cost of paying a buyer’s agent to bring a buyer.

Question 4

Can We Make Changes to the Contract After All Terms Are Agreed To?

Accepted Answer

Once all terms are agreed to and the contract is signed, there is no way to make any changes to the contract through Homepie at this time. However, if all parties agree to the changes, you can have your transaction coordinator to draw up an addendum modifying what ever terms need changing.

Question 5

How Do I Decide the Best Way to Structure My Proposed Offer?

Accepted Answer

Congratulations! You've found a home that you want to make a proposed offer on!

Let's go over the Proposed Offer Details page so you will have a better idea of how to structure your offer. This section includes the most important terms. Each of the items we will discuss can contribute to the strength of your proposed offer.

Sales Price

Price is the most obvious factor in the strength of your proposed offer. When you are choosing your price, it’s helpful to look at what similar homes have sold for in the area. Pay very close attention to these properties and make sure they are very close in square footage because square footage has a huge impact on a home’s value and is often overlooked by those who aren’t experts in real estate. Also pay attention to location, lot size, year built, bedroom & bath count, features, and condition. As far as a home seller’s general mentality, if they just listed their property, they are less likely to come down much on price, but you never know since every situation is different.

Pre-approval and Proof of Funds

If you are getting a loan, it's imperative you provide a copy of your lender pre-approval letter. You also may want to provide a redacted copy of a bank statement showing proof that you have adequate funds to close; whether you are paying all cash or just putting a down payment. The seller will want to see your name on the statement so they know the funds are yours, however, you should redact any sensitive information suc

Question 6

How Do I Cancel My Purchase Contract?

Accepted Answer

The purchase contract is set up with “active” contingency removals.What that means is that all contingencies remain until they are removed in writing. If a party to the transaction is not performing, the other side must issue a Notice to Perform. Issuing this Notice to Perform give the other party two business days to remove the contingency in writing, or the issuing party may cancel.

It’s important to be cautious whenever you are thinking about cancelling a contract. Depending on the circumstance, you may wish to speak with your attorney first.

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