Step by Step Buying your first home

1) Decide to buy

Although there are several good reason for you to buy a home, wealth building ranks among the top of the list. Base your decision to buy on facts, not on fears

1) If your paying rent you can very likely afford to buy a home

2) There is never a wrong time to buy the right home. All you need to do in the short run is find a good buy and be comfortable to hold onto it for long run

2) The lack of substantial down payment doesn’t prevent you from making your first home purchase

3) Credit doesn’t have to be perfect but it does help but isn’t the end all.

4) Buying a home doesn’t have to complicate and there are many professionals who will help you along the way.

2) Hire Your Agent. Your agent can help you coordinate all the professionals involved in your home purchase and to act as the advocate for you and your interests throughout

Seven main roles of your real estate agent as a buyers agent

1) educates you about your market

2) analyzes your wants and needs

3) Guides you to homes that fit your criteria

4) Coordinates the work of other needed professionals

5) Negotiates on your behalf

6) checks and double checks your paperwork and keeps you on deadline

7) Solves problems as they come up

Questions to ask your agent

1) Why did you go into Real Estate?

2) Why should I work with you?

3) What do you do better than other real estate agents?

4) What prices will you use to help me find the right home for my particular wants and needs?

5) What are the most common things that go wrong in a transaction and how would you handle them?

6) What are some mistakes you think people make when buying their first home?

7) Can you provide me with references or testimonials from past clients?

 

3) Secure financing

Securing financing can be confusing and downright scary, but if you follow these six steps it will become a lot easier

1) Choose a loan officer or mortgage specialist

2) Make a loan Application and get pre-approved

3) Determine what you want to pay and select a loan option

4) Submit to the lender an accepted purchase and offer contract

5) Get an appraisal and title commitment

6) Obtain funding at closing

4) Finding your home

 

Finding your ideal home is not just jumping in the car and driving all over town. Before you actively start looking ask yourself what are your wants, needs in both short or long-term goals

1) What do I want to my home to be close to?

2) How much space do you really need and why?

3) What matters more to you location or size?

4) Do you want to do work to a home or want turnkey

5) How Important is home value appreciation?

6) Is Neighborhood stability and priority?

7) Would I be interested in a Condo?

8) Would you want new construction in a new home?

9) what features and amenities do I want? Which do I really need?

5) Make an offer

Put on your business mind when you approach this aspect of the process. Stay Cool headed and realistic about your market. There are three aspects of an offer. They are Price, Terms, Contingencies

Price must reflect fairly in a true market value of a home you want to buy. Your agents will have data that will help you come to a price to offer seller

Terms the financial and timing factors that will be included in the offer. Terms fall under the schedule of events that happen prior to closing. Items that will stay in the home when the seller leaves. Commission the real estate agent or both agents will receive from the seller. and last closing costs it is stander for the buyer to pay their closing costs, but if you want to roll the cost int the loan you need to write that into the contract. Home Warranty which covers repairs, or replacement of appliances and major systems you may ask the seller to pay this. Last earnest money this protects the sellers from the possibility of our unexpectedly pulling the deal and makes a statement about the seriousness of your offer.

6) Perform and due diligence

A lot of times if something breaks you can return it, but when you buy a home you buy it you own it. It’s important to obtain homeowner insurance and get property inspected before you get to purchase and sale.

Homeowner insurance policy protects you in two ways

1) Against loss or damage to the property itself

2) Liability in case someone sustain an injury while on your property

Home Inspection should expose issues a home at face value might hide.

1) Don’t overlook structural damage

2) don’t sweat the small stuff that can easily be repaired

 

7) Close

You have made it to the end game. Closing is the final stage of home buying process. The lender confirms the home value and legal status and your continued credit-worthiness. Your agent will keep you updated how appraisal, title search and final check on your credit and finances.

You have a few pre-closing responsibilities

1) Stay in control of your finances

2) return all phone calls or emails about your paperwork quickly

3) Communicate with your agent at least once a week

4) Several days before closing confirm with your agent that all your documentation is in place and in order

5) Obtain Certified funds

6) Schedule your walk thru 2-3 weeks prior to closing

Closing day you will do the following

1) Finalize your mortgage

2) Pay the Seller

3) Pay the closing costs

4) Transfer the title from the seller to you

5) Make Arrangements to legally record the transaction as public record

8) Protect your investment

Your agent can help you with the following

1) Handle your tax return as a homeowner

2) Find contractors to keep your home in order

3) Help your friends find a home

4) Keep track of your home current market value

 

Maintaining your home is key and goes beyond keeping your home clean, but involves keeping your systems running smoothly, keeping a watchful eye on leaks, damages, wear and fixing small problems before they become large issues.

Contact me about buying your home