01-19-2018, 02:07 PM
All the realtor really does is find the seller a buyer, fill out a standard contract, and give it to the title company.
The title company will convert the contract using standard Hawaii legalese, check for any liens (including things that aren't liens yet, but have the potential to become one, like unpaid road fees), taxes etc, and deduct those things from the sellers proceeds and pay them off. It's standard practice to pro-rate the taxes and road fees (For example if it's half way through the year and the taxes and road fees have already been paid for the entire year, the buyer owes the seller 6 months worth of each in addition to the purchase price, unless it has been stipulated in the contract to the contrary).
The title companies no longer offer sample contracts. I can't remember the reason they gave but the contracts really only have to be 2-3 sentences for the title company to turn it into a real estate transaction.
Most contracts stipulate who pays the title company as it's usually split between buyer and seller (but that is always negotiable). Of course the buyer brings all the money to the transaction, the fees are deducted from that, the percentage of the split is just accounting.
After the contracts are finalized, signed/notarized, the buyer transfers the money to the title agency. The title agency deducts their fees, pays off any road fees, taxes, liens, etc, and gives the remainder to the seller. Then they file the court paperwork to transfer the deed.
"Anyone point me in the right direction on this as to what steps I need to take. It should be an easy thing... my car cost more than this transaction will be."
If it's going to be a small purchase price, try to get the buyer to pay all the title fees, let them pick the title company. The two companies are more or less the same, though I prefer First American Title.
I guess it can be done either way, but since the title insurance is really for the buyer's benefit, the buyer should initiate a purchase contact the seller agrees to, they both sign it, and the buyer submits it to the title company along with their earnest deposit. That gets the wheels in motion to turn a simple purchase agreement into a binding real estate sale.
I can post a generic purchase contract if its helpful.
The title company will convert the contract using standard Hawaii legalese, check for any liens (including things that aren't liens yet, but have the potential to become one, like unpaid road fees), taxes etc, and deduct those things from the sellers proceeds and pay them off. It's standard practice to pro-rate the taxes and road fees (For example if it's half way through the year and the taxes and road fees have already been paid for the entire year, the buyer owes the seller 6 months worth of each in addition to the purchase price, unless it has been stipulated in the contract to the contrary).
The title companies no longer offer sample contracts. I can't remember the reason they gave but the contracts really only have to be 2-3 sentences for the title company to turn it into a real estate transaction.
Most contracts stipulate who pays the title company as it's usually split between buyer and seller (but that is always negotiable). Of course the buyer brings all the money to the transaction, the fees are deducted from that, the percentage of the split is just accounting.
After the contracts are finalized, signed/notarized, the buyer transfers the money to the title agency. The title agency deducts their fees, pays off any road fees, taxes, liens, etc, and gives the remainder to the seller. Then they file the court paperwork to transfer the deed.
"Anyone point me in the right direction on this as to what steps I need to take. It should be an easy thing... my car cost more than this transaction will be."
If it's going to be a small purchase price, try to get the buyer to pay all the title fees, let them pick the title company. The two companies are more or less the same, though I prefer First American Title.
I guess it can be done either way, but since the title insurance is really for the buyer's benefit, the buyer should initiate a purchase contact the seller agrees to, they both sign it, and the buyer submits it to the title company along with their earnest deposit. That gets the wheels in motion to turn a simple purchase agreement into a binding real estate sale.
I can post a generic purchase contract if its helpful.