AlexanderGroup
Real Estate
You’re ready when you have stable income, some savings for down payment and reserves, manageable debt, and you’re planning to stay put at least a few years.
Many buyers put 3–5% down with conventional or FHA loans; some programs offer as low as 0–3% with assistance.
Yes—Minnesota Housing’s Start Up and Step Up programs offer mortgages and down payment assistance through approved lenders.
No state minimum; your lender qualifies you based on income, debts, credit, and the loan program.
Many conventional lenders like to see 620+; some FHA/VA options can work with lower scores.
Either is fine, but getting pre-approved with a lender early makes your home search more focused and offers stronger.
Pre-qualification is a quick estimate; pre-approval means the lender has reviewed your documents and is more solid.
Lenders often cap your total housing payment around 28–33% of gross income, but your comfort level matters more.
From accepted offer to closing is often 30–60 days; longer if new construction or special financing.
It depends on rates, prices, taxes, and how long you’ll stay; your agent and lender can run a rent-vs-buy comparison.
Plan on ~2–4% of the purchase price in lender fees, title, escrow, taxes, and prepaid items.
Yes; you can request seller-paid concessions in your offer, within your loan program’s limits.
It’s a good-faith deposit (often 1–2% of price) applied to your purchase at closing, held by a third party.
Commonly within 1–2 business days after the purchase agreement is accepted.
Yes, if you default outside your contingencies; if you cancel properly under a contingency, you usually get it back.
PMI protects the lender if you default when you put less than 20% down; it usually drops once you reach enough equity.
Some programs, like Minnesota Housing’s Step Up, help repeat buyers who meet income/price limits.
They exist, but they’re specialized and carry unique risks; talk with a real-estate attorney before using one.
Many buyers lock after signing the purchase agreement; timing depends on market volatility and your lender’s advice.
Often yes, but tell your agent; your financing contingency deadlines still apply.
It’s strongly recommended; inspectors can uncover defects, safety issues, or expensive repairs you can’t see.
Often 7–10 days, but your purchase agreement specifies the exact timeframe.
Yes, and you should—being there helps you learn how the home works and prioritize repairs.
You usually can negotiate repairs, a price reduction, or cancel within the inspection contingency terms.
Yes—radon is common in MN, and many buyers add a radon test to the inspection.
If there are signs of moisture, odors, or previous water damage, additional mold or air testing can be wise.
For homes built before 1978, federal law requires a lead disclosure; you can also order a lead inspection.
For older homes or big trees near the line, a scope can detect root intrusion, breaks, or expensive issues.
Tests for water quality and well status are common; Minnesota forms include a specific well disclosure.
A septic compliance inspection is often required by counties or lenders, especially in rural properties.
A survey or boundary drawing helps confirm lot lines, encroachments, and easements—important for fences, additions, or disputes.
Lender title insurance is required if you finance; owner’s title insurance is optional but protects you from title defects.
Taxes are based on the county’s estimated market value, class (homestead vs non-homestead), and local levies.
It’s a Minnesota classification that can reduce property taxes on your primary residence.
You file a homestead application with your county assessor after you move in; deadlines vary by county.
They happen for street, sewer, or local improvements; check with the city or county and review the property’s assessment history.
Lenders require hazard insurance; you may also want extra coverage or separate policies for flood or valuable items.
Sellers must disclose in writing all material facts they know that could significantly affect the buyer’s use and enjoyment of the property.
Yes—state law allows a seller to provide an inspection report or agree with you to waive certain disclosures.
Talk to an attorney; you may have claims if the seller failed to disclose a known material defect, but there are defenses and time limits.
Minnesota statutes §§ 559.21 and 559.217 allow specific procedures for buyers or sellers to cancel purchase agreements when conditions aren’t met.
Often yes, if you follow the contract and both parties sign a cancellation; otherwise it can go to arbitration or court.
Yes, but even in as-is deals, sellers still have disclosure obligations and you still can inspect.
It’s not required, but using an attorney is wise for complex situations (contracts for deed, title issues, unique properties).
Shoreland properties may have extra zoning rules for setbacks, docks, and septic; check local ordinances and disclosures.
Minnesota forms include a meth contamination disclosure; sellers must disclose known contamination.
Many buyers start 3–6 months before they want to move, longer if they’re picky or need to sell first.
Yes; you can make your offer contingent on your home’s sale or use bridge/HELOC financing if you qualify.
Typically at closing after funding and recording, unless your purchase agreement says otherwise.
Rarely—early occupancy risks make most sellers and lenders reluctant without a special written agreement.
You can agree to a post-closing occupancy (rent-back) with a separate agreement and clear terms.
After your loan is clear to close and the closing date is confirmed—usually a few days before, not weeks.
Aging roofs, plumbing, wiring, foundations, lead paint, and sewer lines are common concerns.
They can be, but they’re often “as-is,” slower, and more complex—extra diligence is essential.
Yes—owner-occupant loans can work on 2–4 units and can be a great way to start investing.
Expect stricter HOA rules, higher dues, and sometimes extra assessments for amenities and building maintenance.
You can require completion, negotiate a credit, or delay/cancel closing depending on your contract terms.
You can ask, but sellers may push back on “double-dipping”—your agent will help you strategize.
A final walkthrough is standard; additional visits are by mutual agreement with the seller.
To confirm the home’s condition, repairs, and that no new damage or removed items are issues.
Sometimes, but you need the seller’s written permission, and any work before closing is risky.
Tell your lender immediately—job changes can require re-qualification and delay or jeopardize the loan.
Yes—remote notary, power of attorney, or mail-away options may be possible with advanced planning.
Some areas near rivers and lakes are in floodplains; lenders require flood insurance if your property is in one.
Snow can hide roof/yard issues; some items are “seasonally inoperable,” so contracts may address these separately.
An addendum adds terms; an amendment changes existing terms after both parties already signed.
Yes, especially if value is low or new information surfaces, but both parties must agree.
The transaction usually moves into the estate’s control and may delay or complicate closing—attorney guidance is needed.
“Active” is available, “Contingent” has accepted an offer with contingencies, “Pending” is moving toward closing with contingencies resolved.
Yes—review recorded easements and agreements to avoid future access or maintenance disputes.
Not safely for you—use a written post-closing occupancy agreement with clear dates and payments.
Use public crime maps and third-party school sites; your agent can’t steer you but can provide resources.
Insulation, windows, HVAC age, and air sealing matter a lot in our climate for comfort and bills.
Sometimes; you can sign a backup purchase agreement that becomes primary if the first buyer cancels.
You must genuinely have an objection to the property—not just cold feet—to stay within the spirit of the inspection contingency.
Possibly—your attorney could pursue arbitration or court to resolve earnest-money or contract disputes.
The parties may be in default under the contract, and the other party could cancel or seek legal remedies.
Yes, but choose lenders who communicate well, know MN processes, and can meet local deadlines.
Often yes—loan programs allow gifts from certain relatives, with documentation and a gift letter.
15-year loans build equity faster but cost more monthly; choose based on your cash flow and risk tolerance.
Focusing only on getting “the house” and ignoring budget, resale, inspection findings, and long-term costs.