Start Your Journey Towards Purchasing a
Home With a Successful Plan
Meet With a Realtor Early in the Process
Choosing an experienced real estate agent to help you begin your journey and navigate you through the purchase process is important to ensuring your home purchase is a smooth ride. Notice the word, experienced italicized.
There are many factors involved in purchasing and selling real estate. The more your Realtor knows and the skills they have with navigating through the process the more information you will have so that you can make the best choices for your situation.
If you will need to finance your home purchase, then you will need to get pre-approved with a lender prior to finding your perfect home. Your Realtor can give you some advice regarding reputable lenders as well as prepare you for what to expect.
Search for Homes
Your Realtor will have the most up to date homes for sale within the market place. With multiple listing service tools, you and your Realtor will be able to see all listings meeting your criteria as soon as they are listed for sale. In addition, Realtors are often aware of homes prior to their becoming available for sale since they are working with Seller’s in preparation to sell their home and because they are networking with other agents who are doing the same. Your agents ability to make you aware of homes for sale as quickly as possible and then schedule an appointment to show you the home is key to you having the most choices to meet your needs.
Making Offers and Negotiations
In a low inventory housing market, seller’s are receiving multiple offers quickly when they list their home for sell. You and your Realtor will need to see any homes that meet your criteria as soon as you can. If you love the home, you will need to be prepared to submit your best offer. Your Realtor will review comparable homes sales and provide you with a range of the homes value so that you can make an informed decision regarding the purchase price you will offer. In addition, your Realtor will review all of the specific terms possible for your offer to help you determine the best strategy if you are competing with other buyers.
Although, you submit your best offer it is common your offer may not get accepted due to the strong competition with other buyers. It may take a few tries with your Realtor negotiating several offers for you until you are under contract to buy your next home. Once a Seller has accepted an offer from you to purchase their home, you are in a legally binding contract and the escrow period begins. According to the terms of the contract, you will submit earnest money to be held in an escrow account until closing. During escrow the terms and timing of the contract are critical.
Escrow and Final Details
The home you are purchasing is now being held in escrow and the attorney is the escrow agent who will ensure all legal terms of the contract are upheld prior to closing on the home. Your Realtor will serve as your navigator each step along the way to ensure the attorney’s office, your lender and specific inspections are all moving forward as required.
Your lender will be keeping you busy asking for additional information from you in order to prepare your file for underwriting. You will be responsible for providing all information requested in a timely manner. The lender will also order an appraisal and provide you with instructions for paying the appraisal fee. The attorney’s office will order a title search be completed on the property you are purchasing. During the Due Diligence period, various inspections may be scheduled to learn more about the home and ensure there are no hidden issues which may require further negotiation.