The Buying Process

Before you start

Buying a new home can be very challenging, especially for first-time home buyers.  Our experienced agents are here to help.  They will walk you through the entire process – from finding the right home to guiding you through the purchase process. Here is what to expect:   Before you start Choosing an agent Knowing your price range Finding the perfect home Negotiating a purchase Before you close At the Closing You’re an owner! Now what?

• Check your credit and correct any errors as quickly as possible
• Save for a down payment
• Determine a comfortable monthly payment
• Find a loan program that meets your needs and get pre-qualified (preferably pre-approved)
• Determine what neighborhood best matches your needs
• Identify important features and amenities you need your new home to have
• Write out your prioritized wish list

Knowing what you are looking for in a home before you start will help your agent narrow your search to properties that meet your needs.  Make a list of the features and amenities you desire and prioritize the items that are most important.  Some common features and amenities include the following:

Features:

• Age of Property: Do you prefer historic properties, or newer ones?
• Style: Do you have a special preference for ranches, bungalows, or another style of construction?
• Bedrooms: How many?
• Bathrooms: How many? Are they updated?
• Living and Dining Areas: A traditional, formal layout, or a more open, contemporary plan?
• Stories: How many?
• Square feet: How much space?
• Ceilings: How high?
• Kitchen: How big? Recently updated? Open to other living areas?
• Storage: Big closets, a shed, an extra-large garage?
• Parking: A garage or carport? Room for how many cars?
• Extras: Attic or basement?
• Lot: Do you need a yard? How large?

Amenities:

• Office
• Play/exercise room
• Security system
• Sprinkler system
• Workshop/Studio
• In-law suite
• Fireplace
• Pool
• Hot tub
• Sidewalk
• Wooded lot
• Patio, deck, or porch
• Laundry room

Neighborhood matters.
As you consider purchasing your new home, do not forget, people do not just buy a house; they buy the neighborhood.  Make another list for the type of area in which you want to invest. 

• Are there towns, neighborhoods, or streets you prefer?
• Are schools, places of worship, stores and other services important to you?
• What is your ideal commute time?
• Do you need to be near freeways or public transit?
• Are amenities such as swimming pools, parks, tennis courts, available parking, etc., important to you?

Choosing an agent
Choosing the right agent is the first step to finding your new home.  A good agent will understand your needs, show you properties that match your priorities, and guide you through the purchase process in a professional manner.

As your Buyer Agent, we will:

• Ensure that you see as many properties as possible in the areas that meet your criteria 
• Guide you through the entire home-buying process
• Assist you in making an appropriate offer
• Assist you in negotiating a purchase
• Provide professional advice to help you avoid costly mistakes
• Answer all of your questions about the local market area, including schools, neighborhoods, the local economy, and much more

Knowing your price range
Now that you know what you want in a home, you need to determine your price range.  There are two ways to go about this: prequalification or pre-approval for a loan.  Prequalification is the simpler of the two processes.  It can even be done online or over the phone.  When you contact a lender, they will ask for some basic information about your finances.  They will take this information and estimate what size loan you might qualify for.

Pre-approval is a more in-depth process.  The lender will perform an extensive check of your finances including your credit rating, whether or not you are a first-time buyer, what your debt load is, how much money you have to put as a down payment, etc.  A pre-approval amount is a much more reliable estimate of what a lender believes you can afford.

In most markets, pre-approved buyers are preferred over those that are merely pre-qualified.  Being pre-approved lets the seller know you have gone through a more extensive financial background check and that there are not likely to be unexpected obstacles to you buying your home. 
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Finding the perfect home
You now are ready to embark on your home search.  Many buyers find available homes by reading local real estate publications, contacting local Neighborhood Associations, visiting the local Chamber of Commerce, looking on the Internet, or driving through neighborhoods that meet their needs. These methods can be very time consuming and very "hit or miss."

Possibly the most efficient way to find homes is to allow your real estate agent to keep you up-to-date on available properties that meet your criteria, and then allow your agent to screen them for you.  When your agent presents you with a home that interests you, he or she can arrange for you to tour it at your convenience.
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Negotiating a purchase
Once you have found the right home, navigating the purchase process is the next challenge.  An experienced agent can answer your questions, guide you through the steps and make sure everything goes smoothly.

Making an offer.
Your real estate agent will help you determine an appropriate offer price by reviewing recent sales of homes that are similar in size, quality and amenities.  Your real estate agent will advise you on how to create an offer that will have the best chance of being accepted.

Negotiating an agreement.  
Once your offer has been submitted you may need to negotiate with the seller on various items.  Keep in mind that almost everything is negotiable when you are buying a house.  A written contract with your offer that meets local and national legal requirements will be created on your behalf through the use of approved pre-printed forms.  These documents detail what needs to be done by both parties to execute the transaction.

Counter offers happen frequently.  Remain in close contact with your real estate agent so you can quickly review and react to any changes from the seller.  Remember...bargaining is not a winner-take-all deal.  It is a business process that involves compromise and mutual respect in order to close a deal.
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Before you close
After your offer is accepted, your agent will help you coordinate the activities of service providers.  Your agent will make sure these vendors have access to the property to perform their services and will oversee the execution of those services on your behalf.

One service you may need is a home inspection.  An inspection of the property, the foundation, and the surrounding environment may be needed to make sure the property meets the standards set forth in your written agreement.  If there are issues or inconsistencies brought to light during this time, it may delay or even nullify the contract.

Having these procedures completed in a timely and professional manner is a must.  Investigate each service provider to make sure they are reputable and have a clean operational history.  Your agent's experience in this area will be invaluable.

As the closing date (otherwise known as settlement or escrow) draws near you will need to be in contact with the settlement agent, escrow agent or closing attorney and your lender to make sure all necessary documents are being prepared and will be delivered to the correct location on the appropriate date.  Find out what form of payment you will need to bring to the closing for any unpaid fees, and make sure that your payment is made out to the appropriate party.
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At the Closing
Closing is where ownership of the home is legally transferred from the seller to the buyer.  It is often a formal meeting that most parties involved in the process will attend.  In order for the closing to go smoothly, each party involved should bring the necessary documentation and be prepared to pay any related fees (closing costs).  There may be more than one form of acceptable payment for your closing costs so ask the closing officer which form of payment will be required and to whom it should be paid.

Sellers sometimes pay for a portion or all of the closing costs, depending on local market conditions, terms of the purchase contract, and the seller's cash and timing considerations.  Any such concessions should be acknowledged in writing.
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You’re an owner! Now what?
Congratulations on the purchase of your new home!

Now that you have taken ownership of your new home you will need to have the electricity, cable and phone set up.  Also be aware of typical homeowner expenses such as neighborhood association fees, landscaping costs, utilities and annual taxes, and budget for them accordingly.
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