1) Getting a Mortgage
- Obtain quotes from at least two lenders.
Consult with both banks and mortgage brokers to get the best interest rate. Do not run your credit until you decide on a lender.
- Obtain a Pre-Approval Letter.
Once you have submitted the appropriate documents to lender of choice, it takes about 48-72 hours. Documents required will vary between lenders but typically include: W-2s, paystubs, bank statements, investment account statements, retirement account statements and tax returns. Many lenders will require a verification of source of large deposits.
2) Find a Neighborhood
- Look online for information on schools, crime rate, traffic and zoning.
- Determine your work commute.
- Scout local amenities such as parks, shops and restaurants.
3) Find the Perfect Home
- How many bedrooms.
- How many bathrooms.
- How many square feet.
- What kind of style home.
- How many parking spaces.
I will provide you with listings based on the parameters you choose.
4) Making an Offer
- Have a Pre-Approval Letter.
Provided by your lender.
- Sign Purchase Contract .
Provided by your real estate agent. Contract will include appliances, fixtures, etc. that will remain on the property at the close of escrow.
- Submit a Deposit Check.
Deposit check is usually 3% of your purchase offer.
5) The Inspection
- Find a Qualified Inspector.
Contact one of the professional organizations to find an accredited inspector or your real estate agent can recommend one. Expect to pay about $300-$750.
- Attend the Inspection.
This is your opportunity to ask questions about the infrastructure of the house. Be sure to learn about the operation and locations of the gas valve, water shut-off valve and the breaker box.
- Consider Additional Assessments.
Ask your real estate agent if they recommend additional inspections above and beyond the standard one. This will depend on what is identified in the inspection report.
- Request for Repair.
Submit a form with a list of repairs (if any) to the seller. Your real estate agent will have the form. Seller may accept your request for repairs, may give you a counter offer, or choose not to do any of the repairs.
6) Hiring an Appraiser
- Have the property appraised.
To determine the property value, you need an appraiser, which your lender will hire. The lender will require an appraisal. The appraisal fee will vary and may be an upfront cost.
7) Buying Property Insurance
- Comparison-shop for Property Insurance.
You can choose any provider for this coverage, which protects against most risks to the property. Lender will require this prior to closing. Consider bundling with your auto or other insurance.
8) Navigating the Closing Process
- Lock in Your Interest Rate.
Do so 30-45 days before your closing. Consult your lender.
- Obtain a Detailed List of Closing Costs From Your Lender.
Besides the expenses tied to your loan, you will have additional fees such as title services, transfer taxes and escrow fees. These fees will vary but will typically follow industry standards. Be sure to contact your lender or escrow officer with questions regarding fees.
9) Conducting the Final Walk-Through
- Verify All Repairs Have Been Completed by Seller.
All repairs agreed upon in the request for repair form.
- Verification of Property.
Verify the property is in substantially the same condition as on the date of acceptance of the purchase offer.
10) Signing Loan Documents
- Singing Loan Documents.
A day or two after signing loan documents, the property will record. Once that happens the home is yours.
Congratulations, once the property records, your real estate agent will hand you the keys!