Buyer Services

Typical First Time Home Buyer Questions: 

• Is the closing cost added in the loan amount? 
  Not typically but if the loan is a VA type loan then he VA funding fee is rolled into the loan.
  
  
• How much money do we need to come up with up front? 
  Approximately $1500 to $2000.   On a VA loan it should be closer to $1500.
  
  
• I am going VA and I can't get a DD Form 214, but I have a proof of service letter, will that work? 
  You need the DD214, you need to call the VA to get eligibility set up OR Eddie at Citizens Bank has it automated online for his customers
  
  
• Does the VA go through any bank or just certain ones? 
  Most, if not all Banks but very few Mortgage Loan Companies
  
  
• Is there an agreement for any damages or repairs for the home prior to move in? 
  Inspections are done to help insure the condition of the home well before closing/move-in.  I also recommend asking the seller to pay for a home warranty if the price offered is sufficient for seller to pay for one .  The General inspection is usually paid by the buyer so that the buyer can choose the inspector and be present for the inspection.  The Seller is typically asked to pay for a termite inspection by a pest inspection company.
  
  
• How much is the realtor fee? 
  The realtor fee is paid by the seller at closing.  The buyer occasionally pays realtor fees when the buyer chooses a home that offers no compensation to the realtor (such as a For Sale By Owner) or if the buyer prefers to sign a buyer representation form and if you need more information on this I will be happy to inform.  I do not typically work as a buyers agent, instead I am considered a transaction coordinator which means that I am working with you and the other agent or seller to help both parties come to an agreement.
  
  
• If we find a house not for sale by your company (ERA), how do we go about purchasing? 
  I am a member of the Las Cruces Multiple Listing Service and I can show you any home in that system as well as write and present offers for those homes.
  
  
• Do we make the offers on the house or do you do that for us? 
  I write and present offers for you based on your wishes as well as advise you when you have questions.
  
  
• Do we pay a property tax?  
  Yes, but it is pro-rated at closing.  New Mexico property tax is paid in arrears, meaning it is billed at the end of the year for the previous year.  Therefore at closing the title company collects the seller's portion for the current year to the date of closing.  Then you pay for the full year when you receive the bill.  There is usually an escrow account that holds a portion of your payment and the property tax is paid out of the escrow.
  
  
• How does home owners insurance work? Do we choose a company? 
  You pick your preferred Insurance company and they send the bill to the title company to be billed at closing.  Typically the first year of insurance is paid at closing and the lender requires several months to be put in an escrow account then you pay a small amount each month so that when new insurance bill arrives it is then paid in full.

Please remember to contact the following companies before or the day of closing to have services switched or turned on.  This list should cover most companies that you would need to contact regarding city services.  If you need additional phone numbers or addresses please contact me or see the local phone book.  If you need a phone book they can be picked up at City Hall, 200 N. Church Street, Las Cruces Convention & Visitors Bureau, 211 N. Water Street or the Chamber of Commerce Greater Las Cruces, 760 W. Picacho Ave.