A Step-By-Step Guide to Buying a Home
The Process of Buying a House Made Easy
Let's face it. Buying a house can be complicated, especially if you’re a first time buyer. There are so many things that you need to know and do that it is easy to feel lost, confused, or in over your head. Before you start to feel overwhelmed, know that we’re here to make it easy and stress-free for you to understand the entire process and help you from the beginning of your search to closing on your new home.
We will take you through the steps from beginning to end, so you feel excited about buying a home… and more importantly, so you feel prepared for each step along the way!
Step 1: The Buyer Consultation
The first step towards buying a new home is to meet with your Realtor®. At the buyer consultation, we get to know you and chart a course for your home-buying process.
In this step, we’ll discuss:
The Home Loan Pre-Approval
The Home Search Process
Today’s Housing Market
The Buyer Agency Benefits
Your Real Estate Needs
Step 2: Pre-Approval
As you begin home shopping, a pre-approval letter brings you, your lender, and potential home seller confidence in knowing what you can afford, making your offer more likely to be accepted than someone who is not pre-approved.
Step 3: Narrowing Your Search
We offer many different solutions to expedite and simplify the home search process. All brokers have access to the same information, the difference is the speed at which they can get you the information.
NAR.com | Client Gateway | For Sale By Owners | New Construction vs. Resale
Step 4: Home Shopping
During the home shopping process, your buyer agent or showing specialist will suggest homes that fit your needs and meet you to tour selected homes. The average buyer finds the right home within the first 5 homes they view. The most important key to finding the right home quickly is your feedback.
Step 5: Making an Offer
You’ve found the home of your dreams and we’ll guide you through making the right offer. With the offer, you will need to provide an Earnest Money check. It is usually about 1% of the offer price and will be cashed when your offer is accepted.
Step 6: Inspection & Repairs
After the offer is accepted, the inspection period begins. The inspection is for major items only and is paid by the buyer at the time of inspection (typically $400-$600). Not sure which inspector to use? Don’t worry - we have a list of recommended inspectors.
Step 7: Appraisal
Your lender will order an appraisal on your behalf (paid for by the buyer, typically $525) to verify that the value of the home you are purchasing is worth the loan amount that you are asking for. If the appraisal comes back lower than the sales price, we will renegotiate. The best part of the appraisal is that it ensures you won’t overpay!
Step 8: Loan Approval & Clear to Close
This means you now have a Full Loan Commitment and a reason to celebrate!
Step 9: Closing
All your time and efforts have paid off! Make sure to bring your driver’s license or official photo ID and a cashiers check to closing made payable to the title company for the down payment and closing costs. At the end of closing, you’ll walk out with the keys to your new home!
Make no mistake, buying a house isn't a piece of cake. If you're feeling overwhelmed by the process, that's only natural. But rest assured—whether you're buying for the first time or are an experienced buyer looking to buy a different house—with the right guidance and the right team in place to help you, it can be made into an easy and fun process as it should be!
