Step – 1 Make the Decision to Buy

Deciding to purchase a house is a major decision and you will need to do a few things to prepare yourself to make it a good decision.

First, consider the reasons you want to buy a new house; need more room; need less room; tired of renting, etc.  You may want to write all the reasons down so you can really see them and make sure it’s what you want to do.

Second, make sure it makes financial since to purchase a new home.  Can you afford a house that will meet your list of requirements?  Note: A good rule of thumb is your mortgage payment should not exceed 1/3 of your net monthly income.

Step 2 – Seek Professional Guidance 1

Meet with your Realtor.  Once we have had the opportunity to visit about what you are looking for, the type f neighborhood you would like to live in, and your target price range, I can then help guide you to homes, neighborhoods and schools that meet your future goals.  There are also economic factors liable to affect the market today and in the near future that you need to know to make a good decision.

Step 3 – Seek Professional Guidance 2

You will not only need a professional in real estate but in mortgages as well.  If needed, I can help you find a good qualified mortgage banker to get you pre-qualified for a home loan.  A mortgage loan officer will give you a written and signed pre-qualification letter showing that you are approved for the loan.  You will need a pre-qualification letter to show the seller that you are serious and approved to purchase their home when making an offer.  This always helps during negotiation

Step 4 – Begin the Hunt

After our initial meeting, and while you are getting pre-approved, I’ll search all my resources for houses on the market that fit your criteria.  I’ll preview these houses to make sure they meet your goals and dreams. When you are ready, I’ll schedule appointments to tour the houses with you at your convenience.

As we tour houses, you will probably amend your “wish list. There will be some things that will become more important to you and others less important.  It is very important that you communicate with me about those changes so I can refine our search criteria to narrow in on the house of your dreams.

Step 5 – Know the Market

Working with a Realtor that has extensive knowledge of the local market is an essential factor in the house search. I’ll let you know when the market in a particular neighborhood is “hot” and requires immediate action or when the market is “cool” and allows for thoughtful consideration.

I’ll keep you informed as to when the asking price has negotiating room and when the house is “priced to sell.” My unique market knowledge will keep you a step ahead of the “house hunting competition.”

In a “seller’s market,” it is not unusual to see multiple offers on a property, full-price offers and even above-price offers. On the flip side, during a “buyer’s market,” there are more houses for sale than buyers. This gives us more negotiating room as houses are taking longer to sell.

Step 6 – Find Your Dream House

I’m confident that working together we’ll find your dream home. When we do, I will take care of all the paperwork and contract to make the purchase offer.  I will work with you to tailor the offer to your needs including appropriate contingencies (such as obtaining financing, favorable home inspection, clear title, etc.).

Be prepared to write a check to accompany the offer.  This is known as “earnest money.” This is a cash deposit made to a home seller to secure an offer to buy the property. The amount is applied to closing costs. If the seller accepts the offer, generally closing is held 30 to 60 days from the offer date (generally dependent on the turn around time of your mortgage financing).

Step 7 – Negotiate the Deal

It is not uncommon to receive a counter offer when the initial purchase offer is submitted. Be prepared for this and don’t let it discourage you. We will discuss the counter offer and decide whether or not to accept the offer, submit our own counter offer, or reject the counter offer and move on.

Market conditions will play a role in how aggressively we negotiate the deal.  Since it is important to work within your limits, I will help stay within your given goals so you will not have “buyers remorse”.  Emotions can get the best of all of us and it is better to set limits prior to negotiating an offer and stick to these limits.

Step 8 – Get a Loan

During the closing period, you will be working with your mortgage lender to close the loan. Since you pre-qualified for the loan before starting your home search, you will be that much closer to the end. I’ll gather the necessary property information your lender will need to close the loan.  You will supply the necessary paperwork to the lender for them to complete your loan.

Step 9 – Close the Deal

You should receive a “Good Faith Estimate” of closing costs at the time the loan application is submitted to the lender. This estimate is based on the loan officer’s past experience and may not include all the closing costs. I will be glad to work with you and the lender to review the “Good Faith Estimate,” answer any questions you may have and highlight any missing costs and estimates I believe to be low.

This will give you a very good picture of what you will be expected to bring to closing.  Most closings will take place either at our real estate office or the title company’s office.  If you have a time that is better for you to close than another, we will do everything we can to accommodate.

Step 10 – Move In

Congratulations!  The closing is done and it’s time to move into your new house and make it your home. Enjoy this exciting time. I’ll a checklist to you to help you remember all the numerous details, large and small, that will make your moving day a pleasure.

Remember, the down payment is a key part when buying a home.