Frequently Asked Questions

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This is absolutely the first question you must answer before beginning to look for a home. It is best to check with several lenders who will be happy to provide you with an approximation of your buying power. Visit our Mortgage and Financial page for a list of local mortgage lenders who are affiliate members of the Ann Arbor Area Board of REALTORS^®, many of whom have links to their own websites with current information on rates and mortgage programs offered. The lenders will base their estimate on several factors including:

- The current interest rates

What is Earnest Money?

Earnest money is a deposit given by a prospective buyer as a show of good faith to the seller of a property. Once an offer to purchase has been accepted by a seller, the earnest money is typically held in a trust account by the listing Broker until the transaction closes.

What is a Home Inspection?

A professional home inspector will physically view and thoroughly inspect a property, usually on behalf of a buyer, and complete a written report on the property, specifically addressing any defects found. An inspection usually occurs after an offer to purchase has been accepted by a seller.

How Do I Find a Home Inspector?

For a list of qualified home inspectors, visit our Home Inspectors page for a list of local mortgage lenders who are affiliate members of the Ann Arbor Area Board of REALTORS^®.

How Do I Get Started Finding the Perfect Home?

One of the most important choices you will make as you begin to look for a home is selecting a REALTOR^®. Talk with trusted friends and family who have recently purchased or sold a home, and ask for references. It's important to find a REALTOR^®®. The Ann Arbor Area Board of REALTORS^® has over 900 REALTORS^®Find a REALTOR^® page to select the REALTOR^®

What is my home worth? that you feel comfortable with, can honestly communicate with, and whose communication style matches your own. This may require interviewing a few REALTORS ready to go to work for you. Visit our who will best serve your needs.

Real estate appraisers can value the ownership interest in real property. This valuation is called “real property appraisal.” That term includes the “real estate,” which includes the land and any improvements on the land, as well as the interests, benefits and rights inherent in the ownership of the land. This includes homes, land, commercial buildings and natural resources attached to or included in the ownership of the land (such as water, oil or minerals before the resource has been removed from the land).

For a list of qualified home appraisers, visit our Appraiser page for a list of local mortgage lenders who are affiliate members of the Ann Arbor Area Board of REALTORS^®.

Only about half of all real estate agents are REALTORS® -- the top half, in our not-so-humble opinion. REALTORS® work independently, for small agencies, or for large brokerages. They help people buy and sell residential or commercial properties, vacation homes, and land; they conduct appraisals; they operate in the United States and in other countries; some specialize in auctions; and others are buyer’s representatives.