Purchasing a home is a stressful event for many people, but with some planning ahead, it isn't very complicated. I like to give buyers an outline of the entire deal so they understand exactly what to expect. These are my nine steps to purchasing a home.
||Should you have any questions about this information or if
you're ready to get started, just contact me here or email me at Steve@ParadiseWestRealty.com
Step 1 – Get ready to purchase
There are many things you'll want to consider before you start searching for a home. You'll want to assemble an index of features you want, plan for what school districts you'd like to live in, and start working on your budget. A good rule to follow is that your mortgage payment should be around 1/3 of your net monthly income.
Step 2 – Talk to a real estate agent
This is where I can help. I'd be more than happy to plan a time to meet with you and communicate with you regarding your real estate needs and get an idea of your future plans. We'll discuss the mortgage and housing industries, other economic factors that could affect your purchase today or in the future, as well as neighborhoods and school districts in your preferred area.
I can also assist you in getting started on your loan. Paradise West Realty, Inc. works with some of the area's best mortgage professionals, so you'll be in great hands. They can assist you in figuring out which type of loan is best for you and help you get approved.
Step 3 – Begin looking
Following our first meeting, I'll begin looking for available homes on the market that are a great fit for you. I'll get a sneak peek of many of the homes and reject the duds, and then we'll set up appointments to view the houses whenever it's convenient for you.
When we view the houses, I'll show you the good features and negative ones. I'll also ask you to tell us about things you like and don't like. It's common for buyers to amend their list of must-haves as we tour houses and some things become more substantial than others. If such is the case, I'll search the listings once again and trim it down to the home you've been waiting for.
Step 4 – Get a feel for the market
Your agent's understanding of the home market is an essential element in your house search. And I assure you I'm informed of all the neighborhoods and schools, and I will communicate what districts are "hot" and require immediate action and some that are "cold" and allow for thoughtful consideration.
As we view homes, I'll make sure to communicate if the asking price has room for negotiation or if I believe the home is "priced to sell." When working with an agent, be on guard and make sure you ask a lot of questions. Every REALTOR® will convince you they understand the housing market. If things don't add up, call me at 1-888-863-1500 or email me at Steve@ParadiseWestRealty.com, and I'd be happy to answer your questions. My understanding of the market will help you stay a step above the rest throughout the entire deal.
Step 5 – Find the home of your dreams
I'm certain we'll find the home of your dreams. When that happens, I'll precisely develop your home purchase offer. The offer will be tailored with your needs in mind, including many contingencies. A few examples are acquiring financing, completing the inspection, and a clean title.
When we turn in your offer, you'll probably need to submit "earnest money." This is a cash deposit given to the seller to secure an offer to buy the property, and it's often applied to the closing costs. If the seller accepts your offer, we should close about 30 to 60 days after. This allows necessary time for your mortgage financing.
Step 6 – Negotiate the deal
Unfortunately most contracts aren't closed on the beginning offer, and it's very common to receive a counter offer. Don't let this alarm you. We'll talk about whether or not to take the counter offer, submit our own counter offer, or decline the seller's offer and move on.
Market conditions determine how aggressively we negotiate the deal. We'll also work within your budget. And when it's all said and done, we'll create a contract that works well for you.
Step 7 – Secure a loan
Once the deal is complete, you'll begin working with your lender to close the loan. If you're already pre-approved, this shouldn't be a long process at all. However, you need to stay in close contact with your mortgage lender. And I'll sort out all the property information your lender will need to close the loan.
Step 8 – Close the deal
Your mortgage lender will supply you with a Good Faith Estimate (GFE) detailing closing costs within three days of receiving your application. This estimate is formed from the loan amount. RESPA requirements dictate that it has to contain all closing costs and fall within a tight range of accuracy, and I'll analyze the estimate and let you know if it all looks all right.
Then it's time to close on your house. This will probably occur at a title company or escrow office and will likely be a smooth and calm occasion.
Step 9 – Move in
Congratulations! Now you can move into your new house. Enjoy it. And if you need anything, be sure to contact me at 1-888-863-1500 or send me an email.