Just Ask: Good Conversations Start with Good Questions

Good conversations start with good questions. That’s why Barry and Chad rounded up some of the ones they hear most often. You’ll find their general responses below—but don’t hesitate to reach out for advice tailored to your unique situation. With decades of experience, they’re always ready to offer insight and guidance. Just ask.

Buyers Ask:

Will I need a lender pre-approval letter if I’m going to write an offer on a home?

Yes, we will need to provide that with any offer, if you will be obtaining a mortgage. This will be especially critical if we find ourselves in a competitive offer situation, as listing agents and sellers will need to know that you can secure financing. However, if you are a cash buyer, you will need to provide some “evidence” of your capacity to close the transaction without securing a mortgage.

Should we do an inspection on the home we’re buying? 

Absolutely. We would rather you lose a home in competition than discover an expensive major defect in the home just after you move in.

Wouldn’t our offer be more competitive if we removed an inspection contingency?

Yes, but unless you can conduct an inspection before we submit an offer, you’re taking the risk that you could be taking on meaningful infrastructure expenses.

Should we be concerned if a home has elevated radon readings? 

No. Minnesota has high levels of uranium in its soils, which is the source of radon gas. Most Minnesota homes have elevated radon, but it can always be mitigated at a modest expense.

Should we write a “love letter” with our offer?

Listing agents are discouraged from sharing love letters with their sellers, if there are competing offers, lest it could be argued later that the sellers discriminated in any way in the selection of the winning offer. Of course, we always try to paint an appealing profile of the buyer(s), but that can be done without the subjectivity that a love letter might convey.

How long does it take to close on a sale or purchase of a home? 

Lenders will generally want 30 days to complete the loan approval process. Closings typically occur within 45-60 days of offer acceptance.

What expenses should we expect to incur as part of our purchase? 

If you’re putting on a mortgage, the lender will charge approximately 2% of the loan amount in closing costs. You will also need to pay one year’s home insurance premium as of closing date. And we will prorate costs like property taxes, utilities and association fees (the latter only if you’re buying a condo).

What other considerations should we make as we decide which home to buy?

We like to say that “while it’s good to have an entrance strategy when buying a home, it’s also good to have an exit strategy.” Some day, you’ll be a seller, so you want to think about what is likely to be the appeal of your home when you decide to sell. Not all homes or locations will be equally appealing.

Sellers Ask:

 When is the best time to offer our home for sale? 

There is generally strong seasonality to the market. Most buyers of single family homes in Minnesota are of child bearing age, so those buyers love to move around the school year. Consequently, we usually see strongest showing and sales activity starting mid-February through June. Summer months can be a bit slower. And there is usually a good fall market, concentrated around late September through early November.

Do I need to make improvements before we offer the home for sale?

Assume that any buyer will include an inspection contingency as part of their offer. To the extent that we can eliminate the kinds of issues that could surface in an inspection, you are likely to get a better offer and superior result by taking the time to do so.

What’s the greatest challenge for most homeowners in getting their homes ready for sale? 

Less is more. When you hear the word “staging,” that means that most homeowners need to declutter a great deal. This can include removing excess personal property from rooms. You want your closets to look large, which may require moving seasonal items into storage.

What expenses should we expect to incur as part of the sale of the home?

Beyond commissions, you should expect to incur approximately 1/2 % of the sales price in miscellaneous closing costs. We also prorate costs like property taxes, utilities and association fees as of the date of closing.

Barry and Chad are conversationalists at heart—asking a question is the best way to start a meaningful exchange. They’ve helped countless buyers and sellers navigate the market, and they’re ready to offer insights tailored to your unique situation. Just like when someone asks, “How’s the market?”—the most helpful answers depend on your specific needs and circumstances. 

Give us a call at 612-925-8411. We’re always happy to talk.