FAQ for home buyers
General questions & answers for home buyers
Q: What is the most common obstacle a home buyer faces in completing the purchase?
Inspections. After the buyer's offer is accepted by the seller, the buyer has 15 days in which to complete an inspection (using a licensed professional) for possible defects and, if found defective, to void or amend the offer made on the property.
If the buyer's inspection of the property reveals a major repair that the seller was not aware of, it may be in everyone's interest to obtain a second opinion. Existing properties generally have some defects in them which can be considered "normal wear and tear."
You may be able to negotiate a better price if you buy the property in its "as is" condition. However, it is still advisable to have an inspection.
Q: Why should I file for "homestead exemption?
You'll save on property taxes. The homestead exemption of $1,000 assessed valuation reduces the real property tax by the amount of the mileage levy. This can be from $75 to $125 depending on your area of the county.
You'll need (1) a copy of your deed (the original is not required) and (2) a copy of the settlement statement you received at closing.
To qualify, you must reside in the home. You file for this exemption only one time per property and you can now file any time of year. If you sell the home and purchase another, you will need to re file. For Homestead Exemption filing locations, call the County Courthouse 405-278-1235.
Homestead exemption applications are accepted year round, but must be returned to the Assessors office on or before March 15 the year in which you apply in order to receive the benefit of the exemption for that year.
Download a PFD of the Oklahoma County Homestead Appliacation Form.
Download a PDF of the Oklahoma County Homestead Appliction Form with Senior Valuation Freeze
Q: What exactly is a homestead exemption?
A homestead exemption is an exemption of $1,000 of the assessed valuation of the homestead property. Homestead exemption is granted to the homeowner who resides in the property on a permanent basis on January 1. The deed or other evidence of ownership must be executed on or before January 1 and filed in County Clerk's office on or before February 1.
You do not have to reapply for the exemption every year as long as you continue to occupy the homestead property. You do have to reapply if the deed is changed for some reason such as sale, divorce, etc. Remember that if the deed changes you will need to reapply no later than March 15 the following year in order to retain your exemption.
If you have any questions that deal with the assessment of property in Oklahoma County contact the Oklahoma County Assessor, 320 Robert S. Kerr Avenue, Room 313, Oklahoma City, OK 73102. The office is open between 8:00 a.m. and 4:45 p.m. Monday through Friday. Phone is 405-713-1236.
Q: How do I apply for a homestead exemption?
Applications can be obtained in several ways:
- Apply in person at the County Assessors Office
(320 Robert S. Kerr Ave, Rm 313, Oklahoma City or 28 E. Main, Edmond)
- You can obtain applications from the field offices that are set up in January each year.
(dates, locations and office hours are published in December.)
- Online information at http://www.oklahomacounty.org/.
Q: What is the "Title" to a home? Why should I buy "Title Insurance"?
Simply put, the "Title" is the information kept by the court house including ownership and a legal description of the property itself.
Without a "title insurance policy", a buyer may not be fully protected against errors in public records, hidden defects not disclosed by the public records, or mistakes in examination of the title to the new property. As a result, the buyer may be held fully accountable for any prior liens, judgments, or claims.
A title policy insures that if such an occasion arises, the buyer will be defended free of charge against all covered title claims and paid up to the amount of the policy to settle valid claims.
Q: What goes into the mortgage payment?
Your payment will include loan principal, loan interest, possible private mortgage insurance (PMI), required taxes, and insurance. If your loan value is less than 80% your lender may not require your insurance and taxes be part of the monthly payment.
Q: Why should I pre qualify before I start looking for a home?
By pre qualifying, you will know what you can and cannot afford. You will increase your chance of finding just the right home in the right neighborhood for the right price. Your Realtor is the professional who can help do your work for you and keep you focused on your target.
Q: How do I know how much "house" I can afford?
Your "house payment" compared to your "income": try not to exceed 28%. Your "total income debt" compared to your "gross income": try not to exceed 36%.
Q: How do you see the effect of interest rates on mortgages for the near future?
Low interest rates will continue. House shoppers are looking and comparing because lower interest rates mean lower payments. The result is buyers can afford "more" house for the same mortgage than they could when rates were higher.
Alice Dahlgren's AtHome Newsletter
