What You Need to Know About Buying a Home
Purchasing a home will be your single biggest investment and there are many factors to consider when purchasing a home, whether it’s a primary residence or an investment property. I am here to make this process stress-free and as smooth as possible for you!
STEP 1: DEFINE YOUR GOALS
Determine why are you looking to buy a home right now and what kind of home are you looking for. Take this time to also evaluate your financial situation and budget. Make a projection of how much you are able to and/or want to spend on a monthly mortgage payment. Although you might be able to afford a $800k home, maybe you only want to spend $2000 on a monthly mortgage. This is why it’s important for you to take a look at your finances and budget for a a monthly mortgage payment, real estate taxes, insurance, and any other costs required for maintaining a home.
STEP 2: CONTACT A REALTOR
Buying a home is a complex transaction and no transaction is the same. After defining your goals, you are likely to have a long list of questions and must-haves in a new home. A knowledgeable realtor will help to guide you through the property search, financing, negotiation, and transaction process. A great realtor will also inform you of all the documents you will be required to sign so that you are prepared when the time comes to place an offer on "The One".
STEP 3: GET PRE-APPROVED FOR A LOAN
Your realtor has experience working with different lenders in the area and can introduce you to a loan officer they love and trust to make sure there are no issues with your loan once you have submitted an offer on a home you love. The loan officer will examine your financial health and credit history to determine how much you can borrow to buy a home. Even if you’re not planning to purchase a home anytime soon, it’s still helpful to meet with a loan officer to go over your financial situation. Lenders can tell you what steps you can take in the coming months to prepare to buy a home in one to two (or more) years.
STEP 4: TOUR HOMES
Based on your goals and loan pre-approval, your realtor will send you a list of homes that match your criteria. You can also download the KW app to your phone to search through listings. Once you find homes that pique your interest, coordinate a date and time to see the home in person with your realtor.
STEP 5: PLACE AN OFFER
When you find “The One”, have your realtor present an offer to the seller. The seller can accept it, reject it, or provide a counteroffer to negotiate the sale.
STEP 6: THE SETTLEMENT PROCESS
On average, it will take about 30-45 days to close the deal after your offer is accepted. During this time, you will need to secure financing, get the title search, order a home inspection, have the property appraised, etc. On the day of your settlement, you can perform a final walk through before all documents are signed and closing costs are paid.
If you want to know more specific details about what happens once your offer on a home is accepted, the settlement process, how much money you need to buy a home, and more, enter your email below to get my FREE Home Buyer Guide outlining all the details!
STEP 7: BECOME A HOMEOWNER!
I hope this blog post answered a few questions you might have had about buying a home. If you have not submitted your email above to download a free in-depth home buying guide, please do so. I think that this free guide will provide you with more tips and information so that (no matter which realtor you choose to proceed with) you will be making more informed decisions along the way as you search for your lovely home and get ready to submit an offer.
If you have more questions, I’m leaving my contact information below. Don’t be shy about reaching out, no question is too silly!