Frequently Asked Questions About Real Estate

The offer is the amount of money that the buyer agrees to pay for the home, plus any additional conditions in the contract. A “bid” on a house is simply another term for an offer.

An option period is a short time outlined in the contract during which the buyer can cancel the contract for any reason without losing their earnest money. It is mainly used to get the home inspected.

Option periods in Texas are usually 5 to 10 days. Buyers often request enough time to complete a full home inspection and review the results.

The option fee is a non-refundable payment from the buyer to the seller for the right to cancel during the option period. It typically ranges from $100 to $200 in Central Texas.

Earnest money is a good-faith deposit paid by the buyer when making an offer. In Texas, it is commonly 1% of the purchase price, though it can be higher in competitive markets.

While not legally required, a knowledgeable local Realtor can save you time, money, and stress by handling negotiations, paperwork, and market expertise.

Common loan types include VA, FHA, USDA, and conventional mortgages. The best choice depends on your financial situation and eligibility.

An FHA loan is backed by the Federal Housing Administration and allows down payments as low as 3.5%. It is popular with first-time homebuyers.

PMI (Private Mortgage Insurance) protects the lender when the down payment is less than 20%. It is added to your monthly mortgage payment.

Your agent will provide a Comparative Market Analysis (CMA) based on recent sales of similar homes in your neighborhood. Pricing correctly is one of the most important factors in how quickly your home sells.

Declutter, deep clean, make minor repairs, and consider professional staging and photography. In Texas, curb appeal matters — especially with our hot summers and outdoor living focus.

Well-priced homes in desirable areas often sell in 30-60 days, but this varies greatly by location, condition, and market conditions.

No — repairs are negotiable. You can agree to fix items, offer a credit, or do nothing depending on the strength of the offer and current market.

It depends on your personal situation. Lower competition and possible seller concessions can create good opportunities even with moderate interest rates.

Forecasts vary by city and neighborhood. Central Texas has seen steady long-term growth, but local supply and demand drive pricing.

While not legally required, an experienced agent handles negotiations, paperwork, inspections, and protects your interests — often saving you time and money.

Commissions are fully negotiable between you and your agent. They are typically paid from the transaction proceeds at closing.

A VA loan is guaranteed by the Department of Veterans Affairs and often requires no down payment or private mortgage insurance for eligible veterans and service members.

The VA does not set a minimum credit score, but most lenders require at least 620.

Active-duty service members, veterans, National Guard members, and reservists who meet minimum service requirements usually qualify. Check eligibility here.

Yes, you can use your VA loan entitlement multiple times, though VA funding fees may vary based on prior usage and down payment.

A home inspection examines the major systems and components of the house including roof, foundation, plumbing, electrical, HVAC, and structure to identify any issues.

Home inspections in Texas typically range from $150 to $500 depending on the size and age of the home. Additional inspections (pool, septic, etc.) cost extra.

The buyer is responsible for the cost of the home inspection.

Closing costs are the fees paid at the end of a real estate transaction. They include title insurance, appraisal, lender fees, recording fees, and more.

In Texas, the buyer usually pays most closing costs, but this can be negotiated. In some cases, the seller may agree to pay a portion of the buyer’s closing costs.

You usually receive the keys shortly after closing once the lender funds the loan and the seller receives their proceeds — often the same day or within one business day.

The average closing time in Texas is 30 to 45 days, though it can be faster or slower depending on the loan type and circumstances.

Texas has no state income tax but relatively high property taxes. You will pay prorated taxes at closing, and your new tax bill may increase due to the recent sale price.

Many Texas neighborhoods have Homeowners Associations with monthly fees, strict rules, and possible special assessments. Always review HOA documents during the option period.

TREC regulates real estate agents and brokers in Texas and requires the use of standardized contract forms to protect all parties.

Get pre-approved for a mortgage. This shows sellers you’re serious and helps you know exactly what you can afford.

You’ll need money for the down payment (as low as 3.5% with FHA), closing costs (typically 2–5% of the purchase price), and moving expenses.

Yes. FHA and VA loans are more flexible with credit. Improving your score before applying can still save you money on interest rates.