52. What is title insurance, and do I need it?

Lender title insurance is required if you finance; owner’s title insurance is optional but protects you from title defects.

53. How are property taxes calculated in Minnesota?

Taxes are based on the county’s estimated market value, class (homestead vs non-homestead), and local levies.

54. What is homestead status?

It’s a Minnesota classification that can reduce property taxes on your primary residence.

55. How do I apply for homestead?

You file a homestead application with your county assessor after you move in; deadlines vary by county.

56. Are special assessments common?

They happen for street, sewer, or local improvements; check with the city or county and review the property’s assessment history.

57. What homeowners insurance do I need?

Lenders require hazard insurance; you may also want extra coverage or separate policies for flood or valuable items.

Buyer FAQs | Minneapolis Homebuyer Guide

BUYER QUESTIONS

Back

GETTING STARTED

WORKING WITH AN AGENT OR AGENCY QUESTIONS

FINANCING & COSTS

SHOPPING & OFFERS

INSPECTIONS & DUE DILIGENCE

APPRAISAL & VALUE

TITLE TAXES & INSURANCE

ASSOCIATION & CONDO OR TOWNHOME ISSUES

MINNESOTA-SPECIFIC LEGAL OR DISCLOSURE CONCERNS

NEW CONSTRUCTION & BUILDERS

TIMING LOGISTICS & MOVING

MARKET & STRATEGY

SPECIAL PROPERTY TYPES

PRACTICAL 'LIFE IN THE HOUSE' QUESTIONS

MORE DETAILED OR 'NITTY-GRITTY' BUYER QUESTIONS

BUYER QUESTIONS

1. How do I know if I’m ready to buy a house?

2. How much money do I need for a down payment in Minnesota?

3. Are there first-time homebuyer programs in Minnesota?

4. Does Minnesota require a minimum income to buy a home?

5. What credit score do I need?

6. Should I talk to a lender or a Realtor first?

7. What’s pre-qualification vs pre-approval?

8. How much house can I afford?

9. How long does it take to buy a home in Minnesota?

10. Is it cheaper to rent or buy right now?

18. What are typical closing costs for buyers here?

19. Can I ask the seller to help with closing costs?

20. What is earnest money in Minnesota?

21. When is earnest money due?

22. Can I lose my earnest money?

23. What is private mortgage insurance (PMI)?

24. Can I get down payment assistance in Minnesota if I’m not a first-time buyer?

25. Are contracts for deed common here?

26. Should I lock my interest rate early?

27. Can I change lenders after my offer is accepted?

37. Do I really need a home inspection?

38. How long is the typical inspection period here?

39. Can I be present at the inspection?

40. What if the inspection finds problems?

41. Are radon tests common in Minnesota?

Should I test for mold?

43. What about lead paint?

44. Do I need a sewer scope?

45. What if the home has a private well?

46. What if the home has a septic system?

47. Should I get a survey?

52. What is title insurance, and do I need it?

53. How are property taxes calculated in Minnesota?

54. What is homestead status?

55. How do I apply for homestead?

56. Are special assessments common?

57. What homeowners insurance do I need?

63. What disclosures must sellers give in Minnesota?

64. Can a seller give me an inspection report instead of filling out the disclosure form?

65. What if I find a problem after closing that wasn’t disclosed?

66. What is statutory cancellation in Minnesota?

67. If I cancel under a contingency, do I automatically get my earnest money back?

68. Are “as-is” sales allowed in Minnesota?

69. Do I need a real estate attorney to buy in Minnesota?

70. Are there special rules for lake or river properties?

71. What about methamphetamine contamination disclosures?

76. How far in advance should I start looking?

77. Can I buy a home while selling my current one?

78. When do I get the keys?

79. Can I move in before closing?

80. What if the seller needs to stay after closing?

81. When should I schedule movers?

87. What should I watch for with older homes in Minneapolis/St. Paul?

88. Are foreclosures or short sales still worth considering?

89. Can I buy a duplex or triplex as my first home?

90. Are there special rules for condos in downtown Minneapolis or St. Paul?

101. What happens if the seller doesn’t complete agreed-upon repairs?

102. Can I ask for repairs after the inspection and also ask for a price reduction?

103. How many times can I visit the home before closing?

104. What is a final walkthrough for?

105. Can I bring contractors to the house before closing?

106. What if my job changes during the loan process?

107. Can I close if I’m out of state or on vacation?

108. Are flood zones a big concern in Minnesota?

109. How do winter conditions affect buying here?

110. What is a contract addendum vs amendment?

111. Can I negotiate after the appraisal?

112. What if the seller dies before closing?

113. What’s the difference between “contingent,” “pending,” and “active” on MLS?

114. Should I worry about shared driveways or easements?

115. Can the seller stay in the home after closing without paying rent?

116. How do I check crime or school ratings?

117. What kind of energy-efficiency issues should I consider in Minnesota?

118. Are backup offers common?

119. What is “good faith” in cancelling under inspection?

120. Can I sue if a seller refuses to sign a cancellation?

121. What happens if the buyer or seller doesn’t show up to closing?

122. Is it okay to use online lenders for a Minnesota purchase?

123. Can I use gift funds for my down payment?