Homebuyers

What to expect when you're purchasing a home.

Get pre-qualified.

Get pre-qualified with a reputable mortgage lender. Don’t know one? Click HERE.

Wants/Needs List

Complete a wants/needs list pre-qualification is buying power for your home search.

Allow "wants" to Be Great Buying Features

Looking at houses is an exciting time. Remember that paint can be changed and fences can be built. Look for items listed on your “needs” list and allow the “wants” to be great buying features.

Write an offer with your Realtor

Have your mortgage lender write a pre-qual specific to the home in which you are making an offer. Be prepared to write a due diligence and earnest check at this time.

Offer Accepted

Once your offer is accepted, these are the due diligence tasks I recommend:

  • get the home inspected
  • get a homeowners insurance quote
  • appraisal
  • loan commitment
  • negotiate repairs
  • other appropriate inspections
  • schedule the closing
  • order a survey
  • Utilities

    When due diligence has expired, schedule your utilities to be turned on day of closing, change your address and other necessary items to help make your move as seamless as possible.

    Closing

    The HUD will have a lot of figures that are involved in the purchase of the home. Your mortgage lender or agent will be able to walk you through all of the numbers prior to closing. Bring your state issued photo ID and be prepared for a 1-2 hour closing at a title company your agent or lender recommends. After the closing, the lender will need to record your deed. Once recorded, the keys to the home will be released and you are free to move in.




    Know What You Can Afford

    Most loans require a downpayment. The amount varies, but 20% of the purchase price is typical. If you’re a first-time buyer or fall below certain income thresholds, you may qualify for affordable-housing programs. Generally, a higher downpayment means better loan terms and a lower interest expense on the mortgage.

    Qualifying for a loan:

    A lender will determine how much he thinks you can afford based on your income, employment history, education, assets (e.g., bank account balances, other property, insurance policies, pension funds), and debt. Check your credit report before the lender does to clear up any problems. Your comfort level: You don’t have to spend $200,000 on a home just because the lender says you can afford a $200,000 home. Do some math and determine what you’re comfortable spending.

    Make an Offer

    You’ve figured out your home-search criteria and what you can afford. Now find a house and make an offer. Your REALTOR® is an invaluable part of this process. He or she will help you prepare a contract, negotiate, juggle inspections and option periods, and more.

    Secure Financing

    Unless you’re paying cash for the home, you’ll need a loan. Keep in mind the true price of financing goes beyond the interest rate alone. Consider items such as points, total lender fees, term of the loan, and penalties for early payment. The lender will likely require an appraisal to verify that the home is worth the cost of the loan as well as a physical survey. Repairs may be required. Insurance must be purchased. All these conditions and others must be satisfied before a transaction can close.

    Close the Deal

    After weeks or even months of research and decision-making, you close the transaction, usually at the title company’s office. The title agent ask you to sign many, many documents and will explain each one. You’ll present a cashier’s check to the seller, sign another document that itemizes closing costs (the lender will have given you an estimate in advance), and pay your share of the closing costs. In return, you will receive a deed, transferring ownership rights to you.

    Contact me for your free consultation today!