Hey everybody, Tom Townsend with Townsend Realty Group in Keller Williams. Hey, I am here to do a Real Estate Q and A with the Most Common Questions asked of Real Estate Agents in Cherokee County through our social media sites. We wrote them down and I’m going to answer them for you. So this is for everybody that has some questions about either buying or selling a house right here in Cherokee County, or Cobb County, Georgia, or actually the whole North-Metro area, which is the area that we work right here in Townsend Realty Group. So I’m going to jump right in and kind of answer some of these questions.
So the first one that we’ve gotten quite a few on is, what’s the first step in buying a house? What a great question. Well, actually the first step is, I’m going to talk about two steps. The first step is, really, find yourself an agent, find yourself an agent that you really know and trust, and has got great experience in the local market. We see a lot of agents that are out there in the market and they’re learning just as much as our buyers and sellers are. So really make sure that whatever agent you select, you get along with them, number one, you can trust them. But they really have an understanding of whatever the local market is that you’re actually looking in. That can be a wealth of knowledge and save you thousands of dollars. So that’s really the first step. The second step is, you have to determine the funding for purchasing a home. If you’re a cash buyer, it’s a lot easier. If you’re not, if you’re using financing, we need to get, make sure that you’ve been in touch with a lender and you are either pre-approved or pre-qualified for a loan. If you are using a mortgage and you have not done that step, an agent can’t do a thing for you. They can’t serve you. They just can’t, there’s nothing you can do. So you really need to make sure that you have those two things taken care of before you actually go out, and you actually look at any home whatsoever. I am hoping that was helpful.
Another question that we get a lot of is what is Earnest Money? Earnest Money is basically a down payment on the house itself. It shows when you make an offer on a home, you’re going to put a down payment down. That’s what basically the Earnest Money is. Now, there’s a lot of details behind the Earnest Money, but that’s about the simplest answer that I can provide you, is that is a down payment on the home. Whatever money you do put down on the home or in Earnest Money will go towards the purchase. Some folks think that it’s an additional fee, that it’s on top of the purchase. It’s not, it’s actually part of the costs that are going to be credited to you at the time of closing. And it’s just, it’s a good-faith deposit down on the house when you actually make an offer on it.
All right, we got one more. I’m going to do one more question here. What is the difference between Condominiums and Townhouses? Another great question. Well, actually, this is one that gets really confusing, and a lot of people, even agents, get confused about it. Condominiums are actually an ownership right, not a style or design. So Townhouses or Town Homes are a style or design, where condominiums are an ownership right. You may have heard the term, Fee Simple? A Condominium is like, Fee Simple is another ownership right. Fee Simple is when you own all the rights, the bundle of rights that are associated with real estate. Condominium basically means that you own the space between the exterior walls. So you do not individually, as an individual, you do not own the exterior walls, or the roof, or any land whatsoever in a condominium. You only own the interior space. The Condominium Association, which you would be a member of, owns all the common elements and actually the exterior structure, the common areas, and the land within a Condominium. So you as a group or an association, own all the dwellings themselves. So that’s why in a lot of Condominiums, you’ll see that the association will do a lot of the exterior repairs, the roofs, so on and so forth and not the individual owners. It’s cause they don’t own the roof. The Condominium Association does. So keep in mind, the Condominium is an ownership right, not a style. Obviously, in most Condominium Associations, the fees are a little bit higher. That is because they got to maintain all the dwellings, right? So they’re usually a little bit higher. So there are some advantages, there are some disadvantages with Condominiums as well. But that’s basically the difference between a Condominium and a Townhouse.
So that was the Real Estate Q and A with some questions that we actually get here at Townsend Realty Group often. Hopefully, if you like this video, you’re going to subscribe, give us a thumbs up if you like it. And if you have any needs whatsoever in Cherokee County, or you have your own questions you’d like to ask, make sure you shoot them to us and we’ll be more than happy to answer them for ya. Hope everybody’s having a great day and to talk to you soon, thanks.