For most people, buying a home can be an intimidating event. But with a bit of planning ahead of time, it's not all that hard.
So you'll understand exactly what to expect, I like to furnish my buyers with an outline of the whole deal.
These are my nine steps to purchasing a home.
Step 1 – Prepare to buy a home
There are several things you need to consider before you start searching for a home.
When you start your search, you'll want to make a check list of must-haves, get a feel for what school districts and neighborhoods you want to live in, and begin planning around your budget.
Keeping your mortgage payment around 30 percent of your net monthly income is a good guideline to follow.
Step 2 – Get with a real estate agent in Mitchell
This is where I can help.
We'll set up a time to meet so we can talk about why you want to buy a home and get an idea of your plans for the future.
We'll discuss the mortgage industry, other economic factors that might affect your buying decision today or in the future, as well as neighborhoods and schools in the Mitchell area.
I can also help you start the loan process.
I partner with some of Mitchell's finest mortgage professionals, so you can rest assured that you're in great hands.
They can help you figure out which type of loan is best for you, as well as help you get qualified.
Step 3 – Begin looking
Following our initial meeting, I'll start finding available homes on the market that are a great fit for you.
I'll research most of the houses and throw out the bad ones, and then we'll book appointments to tour the homes when it's most convenient for you.
When we tour houses, I'll identify positive features, as well as bad ones. I'll also ask you what things you like and dislike.
As a rule, buyers revise their list of must-haves as we tour houses and some items become far more substantial than others.
If that's the situation, I'll go back through all the listings again and trim it down to the home you've been waiting for.
Step 4 – Know the market
An agent's understanding of the Mitchell home market is a leading element in your house search. And I can assure you I'm mindful of all the neighborhoods and school districts, and I will communicate some districts are "hot" and demand prompt action and others that are "cool" and allow for thoughtful examination.
As we view houses, I'll be sure to tell you if the list price has room for negotiation or if I believe the house is "priced to sell."
When working with an agent, trust your instincts and make sure you ask plenty of questions. Any real estate agent will tell you they understand the home market.
If things don't add up, just call me at 812-849-HOME (4663) or e-mail me at email@example.com, and I'll be happy to answer any questions you may have. My market expertise will keep you a step above the rest through the entire process.
Step 5 – Find the home of your dreams
We'll find the home of your dreams in Mitchell, and when that happens, I'll precisely create your home purchase offer. The offer will be made exactly to your needs. Whenever necessary, I never forget to make contracts contingent upon items like acquiring financing and the results of the home inspection.
Upon presenting your offer, you'll want to submit "earnest money." This is a cash deposit submitted to the seller to secure an offer to purchase the property and is most often applied to the closing costs. If your offer is accepted, we should close on the property within 30 to 60 days afterward. This allows plenty of time for your mortgage financing.
Step 6 – Negotiate
A lot of deals aren't closed on the initial offer, and it's widely common to receive a counter offer. Don't let this alarm you. We'll figure out whether or not to agree to the counter offer, propose our own counter offer, or refuse the seller's offer and go on.
Market circumstances determine how aggressively we negotiate the contract.
In addition, we'll work within your financing budget. And at the end of the day, we'll assemble a contract that's best for you.
Step 7 – Get a loan
Once the contract is signed, you'll begin working with your lender to close the loan.
If you're pre-qualified, this won't take much time at all. However, you'll want to stay in close contact with your lender.
And I'll handle all the property information your mortgage lender needs to close the loan.
Step 8 – Close the deal
Your lender will furnish you with a Good Faith Estimate (GFE) of your closing costs within three days of receiving your application. You'll get a Good Faith Estimate (GFE) of your closing costs from your lender within three days of taking your loan application.
This estimate rests on the loan amount. RESPA requirements dictate that it has to contain all closing costs and be within a precise range of accuracy, and I'll examine the estimate and let you know if everything looks okay.
Then we'll close on your house. This will most often take place at a title company or escrow office and is often a smooth and comfortable affair.
Step 9 – Move in
Success! It's time to move into your new home. Enjoy it. And if you need anything or have any questions, simply contact me at 812-849-HOME (4663) or send me an e-mail.