You’re excited and maybe even a little apprehensive. It’s time to purchase a home—maybe for the first time or maybe for the fourth time. You need information, and lots of it: Information on market conditions, financing , schools, neighborhoods an home inspections. Where does the process begin?
The first thing you will want to do is make sure you have representation and if not, what are your options. Once the agency has been established you and your agent should determine the price range of homes that meet your needs. In many cases your agent can recommend local lending institutions which offer “pre-qualification” letters. This means that through a review of your particular financial goals the mortgage company will issue a letter indicating the approximate loan amount that you qualify for. A pre-qualification letter lets a seller know that you are serious. Armed with this documentation you and your agent can negotiate the best offer on your “dream house.” Often, prospective buyers disqualify themselves from considering home ownership because of financial considerations. Your agent can help. Take advantage of their resources. They know the lending institutions and what they have to offer. We can help you with buying investment or commercial property as well. If you own an investment property and want to sell or buy something else, using a Starker 1031 exchange can help you defer taxes.
You may know exactly the home or neighborhood you’re looking for, but many prospective buyers want to examine market conditions in several communities.
Your agent found the perfect home, the right location—everything! It’s time start the paperwork. Your Roy Wheeler Agent writes the offer along with any contingencies involved (such as a home inspection or water test, if necessary).
Your agent works for you as the home inspection is completed. Water, septic and termite certifications are obtained and any other contingencies are satisfied. While all this information can become confusing, your agent is there to give you all necessary explanations and follow through with the required paperwork. Once your inspections are done, consider buying a home warranty on your home to keep from having major expenses at least for the 1st year of ownership.
It is at this stage of the transaction that the purchaser makes their mortgage application. The lender orders a credit report. Your agent arranges for the lender’s appraiser to gain access to the property. Upon receipt of the appraisal the lender makes their final determination on the loan application and issues a letter of commitment for the mortgage.
You’re coming down the home stretch. The buyer’s attorney or title company orders a title search and a survey of the property. Upon receipt of the title report and survey a closing is arranged with you, the mortgage company and your attorney or title company. Please don’t also forget that you need homeowners insurance.
Your agent arranges a final walk-through of your new home just prior to the closing. The buyer makes sure the property is being delivered in the condition that was promised by the seller.
You’ll sign many documents and write several checks. Your agent makes sure that you are aware of all the final costs prior to closing and understand these final steps in the purchase of your new home. And, finally, you get the keys to your new home.
Feel free to contact your Roy Wheeler Agent with any questions or problems that arise after the closing. They will be in touch with you in the months that follow just to check in. And when the need arises they’ll consult with you on the sale and purchase of your next new home.