Got any questions?
So, you want to buy a house—now what? The first time buying a home is an emotional, exciting, and can be an exhausting experience. We are here to help!
5 STEPS TO HOME OWNERSHIP
STEP 1: BECOME PRE-APPROVED
One of the most important steps in buying a home is obtaining financing. Before you even start searching for your dream home, you should talk to a mortgage lender and determine what you can afford and learn about what types of loans are available.
STEP 2: FIND YOUR HOME WITH PROFESSIONAL GUIDANCE BY A LICENSED REALTOR ®
Looking for a home to buy is very different than looking for a home to rent. There are multiple ways to find your new home and the home buying process can be confusing, especially if you ’re a first-time buyer. Your trusted agent can help you navigate the market and simplify the process.
STEP 3: MAKING AN OFFER AND SECURING A RATIFIED CONTRACT TO PURCHASE
So you think you’ve found your new home... the next step is to make an offer! Every market is different, but if you’ve found the right one, it’s best not to wait. Your REALTOR® will work with you to determine the best sales price and details of the offer.
You’ll need...
- A Pre-Approval letter in hand before most sellers will consider your offer.
- Most contracts will also require an “Earnest Money Deposit” from you which will be applied to your down payment or closing costs at settlement.
There may be a bit of “back and forth” negotiating with the Seller before both parties reach an agreement and sign the contract.
STEP 4: PRE-CLOSING
Once you have a ratified contract, you’re officially on the way to purchasing your new home! Before you get to closing, there are a few more important steps:
- Financing - Finalize loan product, discuss rate lock options and ensure your mortgage lender has all necessary documents needed to process and underwrite the loan.
- Select closing or settlement agent and secure homeowner’s insurance for your home.
- Appraisal - An independent, licensed appraiser will determine the property’s valuation.
- Inspections - Your REALTOR® will coordinate property specific inspections as needed.
- If your property is a condominium or part of a homeowners association, your REALTOR ® will help you understand the applicable terms and conditions.
STEP 5: CLOSING (A.K.A. SETTLEMENT)
You have found your home, your offer has been accepted, the financing is in place and the inspections are complete. Now there’s just one more key step in the process - closing!
- The closing occurs when all the conditions of the contract have been met (full loan approval, evidence of clear title, insurance is in place, etc.)
- Prior to the actual closing date, expect to review the list of fees and the terms and conditions of the contract. In addition, you’ll need to know the amount that you’ll need to bring to closing. Your REALTOR® and mortgage lender will assist you with this process.
- Closings generally will occur at the office of the settlement attorney. At the closing, the lender “funds” the loan with a wire to the closing attorney who disburses funds in exchange for the title to the property. This is the point at which transfer of ownership occurs and the buyer receives possession of the property.
- Remember to carefully review all documents before signing. Be sure to ask the closing agent if you have any questions or concerns
- Now you will receive the keys to your new home!
