STEPS TO OWNING A HOME
Purchasing a home is a complex process. I am here to make sure you are aware of all your options and pitfalls. Below is an outline of what you can expect from the home buying process. As you’ll see, there are a few “homework” items I encourage my buyers to complete before they first meet with me.
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Step 1. Homework
Before we begin looking at properties, there are a few tasks I like my clients to complete. The first is meeting with a lender to determine your price range and to be pre-approved for a loan. If you do not know of a lender and need a recommendation, please email me as I'm happy to refer one to you!
How Much Can I Afford?
A mortgage advisor will tell you exactly what you can afford, but this will give you a
rough estimate of what you can spend on a property.
I also ask that you determine your wants and needs. The worksheet below is a helpful tool in defining your wish list.
Step 2. Meet with Me
This is what I call my “buyer intake meeting”. It lasts 1 to 2 hours and is usually at my office or a convenient Starbucks. I learn what is on your home “wish list”, your time frame, and any other factors we need to consider in your home search. Then I walk you through the buying process and let you know what you can expect in the coming weeks. We also discuss what you can expect of me as your Realtor and what you can expect from my company.
Step 3. Home Search
This is the fun part! I will begin to email you listings in the areas and price ranges you are interested in. Then you let me know which ones you’d like to see, and we can arrange a time to view them. For the most part, we can view homes at your convenience. Some properties, however, have limited times for viewing and require showing appointments approved by the seller.
Step 4. Making An Offer
When you decide that you have found the right property, it is time to make an offer! The offer itself is a number of contracts that you and the seller will sign. The contracts typically include the Purchase and Sale agreement, Financing Condition, Inspection Contingency, Title Review and the CB Bain General Addendum.
When you are ready to make the offer, we will meet at my office where I will walk you through these contracts and you will sign them. Signing typically takes 2 hours.
I then present your offer with a copy of your earnest money check to the seller and their listing agent. If all the terms of the contract meet their approval, they will sign the contracts making it an accepted offer. If there are terms of the contracts they dislike (i.e. offering price), they will change the contracts and send them back. This is called a counteroffer. Negotiations between the buyer and seller continue until both parties agree to all terms of the contracts (“mutual acceptance”).
Step 5. Inspections
Once in contract with the seller, I will encourage you to get a home inspection. These typically cost between $300 and $400 depending on the size of the property. Inspections of condo units take about 2 hours. It is best that you attend at least part of the inspection so the inspector can tell you what he found and explain any “red flags”. I will attend the inspection with you.
Article: Why Do I Need A Home Inspection?
Step 6. Closing Process
All of the contracts and funds are held by escrow, a neutral third party in the transaction. About 3 days before closing, you will go to a signing appointment with an escrow representative. Signing usually takes an hour or two.
On the day of close, the funds are transferred and the deed is recorded. When this is completed, you are officially a homeowner! I arrange a time to deliver you the keys and you are ready to move in!