Purchasing a property is most likely the biggest financial decision you will ever make. Whether this is your first purchase or you are an experienced buyer, this decision must be made carefully.
The home buying process does not have to be intimidating. We are here to help you step by step through the home buying process. Below is the general progression of purchasing a home.
If you are looking to buy a house or just have questions about the home buying process, please contact our Buyer's Agent, Sally Webb.
Step 1: Meet with us for a consultation.
Step 2: Get pre-qualified by your choice of lender. Before you start house hunting, you will need to know how much you can spend. The best way to do that is to get prequalified for a mortgage. To get prequalified, you need to provide some financial information to your mortgage banker, such as your income and the amount of savings and investments you have. Your lender will review this information and tell you how much they can lend you. This will tell you the price range of the homes you should be looking at. Later, you can get preapproved for credit, which involves providing your financial documents (W-2 statements, paycheck stubs, bank account statements, etc.) so your lender can verify your financial status and credit.
Step 3: Ask agent to sign you up for a saved search. This will allow to be immediately alerted when a house matching your criteria comes on the market.
Step 4: Start touring homes. Finding the right home is a big decision, so take as much time as you need to find the right home.
Step 5: Make an offer on your favorite home. We will help you negotiate the best terms based on the value of comparable homes in the same neighborhood.
Step 6: Seller accepts your offer! Once you and the seller have reached agreement on a price, the house will go into escrow, which is the period of time it takes to complete all of the remaining steps in the home buying process.
Step 7: Congrats, you're in escrow. Contract and earnest money are deposited to the title company’s escrow department and a preliminary commitment for title insurance is issued.
Step 8: Get the home inspected, sign disclosures and other forms. We will help you though this! Both you and the seller will receive a report on the home inspector’s findings. You can then decide if you want to ask the seller to fix anything on the property before closing the sale. Before the sale closes, you will have a walk-through of the house, which gives you the chance to confirm that any agreed-upon repairs have been made.
Step 9: Get your loan approved. Every home buyer has their own priorities when choosing a mortgage. Some are interested in keeping their monthly payments as low as possible. Others are interested in making sure that their monthly payments never increase.
Step 10: Have the home appraised. Lenders will arrange for an appraiser to provide an independent estimate of the value of the house you are buying. The appraisal will let all the parties involved know that you are paying a fair price for the home.
Step 11: Conduct your final walkthrough of the house.
Step 12: Receive final loan documents from the lender, and make signing appointments. Your lender will arrange for a title company to handle all of the paperwork and make sure that the seller is the rightful owner of the house you are buying.
Step 13: Documents are sent to county auditor’s office to be recorded.
Step 14: Recording numbers are relayed back to title company and funds are distributed.
Step 15: The sale is complete. Congratulations! At closing, you will sign all of the paperwork required to complete the purchase, including your loan documents. It typically takes a couple of days for your loan to be funded after the paperwork is returned to the lender. Once the check is delivered to the seller, you are ready to move into your new home!
Step 16: Title policy is issued and the original recorded deed is sent back to you.
Step 17: Get the keys and move in to your new home!