Buying a home is a stressful event for many people, but with some 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 overview of the entire deal.
Below are my nine steps to buying a home.
Step 1 – Prepare to buy
Before you begin searching for a home, there are a lot of things you'll want to take into account.
It's likely that you'll want to make an index of items you want to have, 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 a third of your monthly income.
Step 2 – Contact a real estate agent
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 talk about neighborhoods, schools in the Chesapeake area, the mortgage and housing industries, and any additional economic factors that could potentially affect your buying decision today or in the future.
In addition, I'll help you start the loan process.
There are some great mortgage professionals in Chesapeake, and I partner with a lot of them, so you can rest assured that you're in great hands.
They'll assist you with determining which type of loan is best for you and help you get approved.
Step 3 – Begin looking for a house
After our initial meeting, I'll begin searching for available houses on the market that meet your needs.
I'll preview many of the houses and reject the bad ones, and then we'll schedule appointments to view the houses when it's most convenient for you.
As we view homes, I'll point out positive features and negative ones. And I'll ask you to tell us about things you like and dislike.
Usually, buyers update their list of must-haves as we view homes and some items become more important than others.
If that's the situation, I'll search all the listings once again and narrow it down to the house you've been wishing for.
Step 4 – Understand the housing market
An agent's understanding of the Chesapeake home market is a necessary element in your house search. And I assure you I'm conscious of all the school districts and neighborhoods, and I can let you know certain districts are "hot" and call for immediate action and some that are "cool" and allow for thoughtful analysis.
When we view houses, I'll let you know if the asking price has room for negotiation or if I believe the house is "priced to sell."
Trust your instincts and make sure you ask your agent a lot of questions, as every REALTOR® in Chesapeake will convince you they truly know the market.
If things don't add up, contact me at 757-547-1234 or e-mail me at jjackson@roseandwomble.com, and I'd be happy to answer any questions you might have. My understanding of the market will keep you a step ahead through the entire process.
Step 5 – Find your dream home
I'm confident we'll find your dream home in the Chesapeake area, and when we do, I'll precisely create your real estate purchase offer. The offer will be made with your needs in mind. Whenever necessary, I never forget to make contracts contingent upon items like your ability to secure financing and the results of the home inspection.
Upon submitting your purchase offer, you'll need to submit "earnest money." This is a cash deposit given to the home seller to secure an offer to purchase the property. The amount is usually applied to the closing costs. If the seller accepts the offer, we should close on the property about 30 to 60 days afterward. This allows necessary time for your mortgage financing.
Step 6 – Negotiate the deal
Most contracts aren't closed on the first offer – it's really common to receive a counter offer. Don't let this alarm you. We'll discuss whether or not to accept the counter offer, propose our own counter offer, or decline the seller's offer and move on.
The state of the market determines how aggressively we negotiate the contract.
In addition, we'll work within your financing constraints. And when it's all said and done, we'll compose a deal that is best for you.
Step 7 – Get financing
Once we sign the final contract, you'll start working with your lender to close the loan.
This won't take much time at all if you've been pre-approved, but you'll need to stay in close contact with your lender.
And I'll take care of all the property information your lender needs to close the loan.
Step 8 – Close the deal
You'll get a Good Faith Estimate (GFE) of closing costs from your mortgage lender within three days of taking your loan application.
This estimate is formed from the loan amount. RESPA requirements order that it has to involve all closing costs and be within a strict range of accuracy, and I'll review the estimate and let you know if it all looks all right.
Then it's time to close on your home. This will likely take place at a title company or escrow office and will most likely be a smooth and relaxing affair.
Step 9 – Move in
Success! It's time to move into your new home. Enjoy it. And if you need anything, simply call me at 757-547-1234 or send me an e-mail.
