- Hire an Attorney. If you decide to hire an attorney, it important to hire the attorney before signing a Purchase Agreement. An attorney can help you navigate all the complicated legal documents that will surely be a part of the transaction.
- Financing. Unless you are paying cash for the home, you will need some type of financing. Whether you use a conventional loan and mortgage or a land contract, it is important that you understand the types of and differences of the financing options.
- Home Inspection. Home inspections are a critical step in the home buying process. A home inspection will inform the buyer of structural or physical problems of the home. Your Purchase Agreement should always have a clause which makes the deal contingent upon a home inspection.
- Title Insurance. Title Insurance protects the buyer against defects in the chain of title. If a third party has a claim to the property that is unknown of at the time of purchase, then the title insurance company covers losses arising from the claim.
- Understand your Mortgage. Most home mortgages in Michigan contain Power of Sale provisions. Under their contractual provisions, Power of Sale provisions allow banks to foreclose on the property following simple steps, without involving the courts.
