🗒️ Steps to Buying a House: From Consultation to Closing
Hello Hampton Roads,
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One of the most common questions I hear is "What are the steps to buying a house?" It's a great question because the real estate market is competitive and serious buyers who want the best chance at buying a home, are thinking about this systematically and putting a plan in place! If you're in the market to buy a house or soon will be here are the steps you need to take in order.
Schedule a Buyer Consultation
Start by meeting with your agent for a buyer consultation. This crucial first step sets expectations, allows you to discuss your needs, helps you understand the home-buying process and the current real estate market. There are some people who are able to go through the process themselves but most prefer professional guidance to help them avoid expensive mistakes and pitfalls of buying. Having good professional represntation as well as a tailored strategy will save you time and money, putting you ahead of the competition.
Get Pre-Approved for a Mortgage
Before you begin your home search, get pre-approved for a mortgage. There are many loan programs out there including down payment assistance, closing costs assitance and grants. Make sure you are exploring your options and taking advantage of the best products for you to make home ownership more affordable. The minimum credit score lenders accept for these programs is a 620; however, you can get an FHA loan with a 580 score with a larger down payment (10% down). This step also clarifies your budget and signals to sellers that you are a serious and qualified buyer.
Start Your Home Search
With your pre-approval in hand, your Realtor will guide you in finding homes that match your criteria. Utilize online listings, attend open houses, and visit properties to narrow down your options and find the best fit. When viewing homes make a list of pros and cons for any homes you are considering and also don't forget to see if there are other factors that could add to the cost like required flood insurance, hoa or condo dues, or special assessments. Think about re-sale value and any factors outside the physical house that could affect value either positively or negatively. Discuss this with your Realtor and ask what he or she sees.
Make an Offer
Hooray! You found a home you like! Before you put pen to paper, your Realtor will check comparable sales to make sure that the property is appropriately price, find out whether or not other offers exist on the property, and ask your lender for a fee sheet so you can see your estimated monthly payment as well as out of pocket costs. Once you review this information with your Realtor, and then discuss the terms to help you make a competitive offer. This includes determining the right price, considering contingencies, and negotiating terms to ensure your offer stands out. Depending on the competition, your first offer isn't always accepted but this is part of the process.
Home Inspection and Appraisal
After your offer is accepted, schedule a home inspection to confirm the property's condition. Unless you are buying an "As Is" property you can negotiate for home inspection repairs or you can use the home inspection contingency to back out of the contract. An appraisal will also be conducted to verify the home's value, ensuring you make a sound investment. A lender will give you a loan based on the appraised value.
Finalizing the Loan
Your lender will finalize your mortgage, requiring additional documentation and a final credit check. Maintain close communication with your lender during this period to ensure a smooth process. Once you hear that your loan has been cleared to close you can schedule the walk-through and closing!
Walk-through
A day or two before closing you will do your walk-through. It's important not to skip this step as it is your final opportunity to view the home before you own it. You can check on any negotted repairs at this time as well. If all looks good, then you move on to closing--the final step!
Closing the Deal
On closing day, you'll sign the final paperwork, pay closing costs, and receive the keys to your new home. Congratulations, you are now a homeowner!
📞 Ready to Start Your Home Buying Journey?
Set up a free home buyer consultation today to get started on finding your dream home. With the right strategy, you can navigate the complexities of buying a home with confidence and ease.
Schedule your consultation now and take the first step towards homeownership:
Thanks for Reading,
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