Home Buying 101
Your overview for how the home buying
I Want to Buy A Home. Where Do I Start?
Buying a home can seem overwhelming. But don’t worry! Below, we’ve broken the process down into three phases to give you a good grasp on what this journey looks like from start to finish.
And while this is a nice guide, feel free to reach out to us with any questions you may have!
One - Find Your Financing
See How Much You Can Afford and Get Prequalified
Determine how much house you can afford
- Your income and debt are the two most important factors when deciding how much house you can afford.
- Take into consideration your monthly and yearly expenses associated with a house like utilities, taxes and insurance
Save for a down payment and/or closing costs
- Decide if you want to make a down payment or not
- Third party closing costs such as appraisal, survey (if necessary), title company fees
- Moving expenses – everything from paying movers
to new appliances
Get a pre-qualification letter
Two - Find Your Home
Finalize Your Wish List, Work With a Real Estate Agent and Find Your Home
Develop a ‘wish list’
- What features are you looking for in your new home? What style of house? Have a kind of neighborhood in mind? Consider all of these and write them down before the house hunting begins
Work with a real estate agent
- Having a real estate agent (a buyer’s agent) on your side can help you in price negotiations and the paperwork required
Hunt for that House!
- Find the ideal house for you. Consider location, age of the home and other elements on your wish list
Make an offer
- Your real estate agent will negotiate on your behalf with the ‘seller’s agent’
- Offers are typically contingent on a home inspection. It’s advised that you work with your real estate agent on this.
Three - Fund the Deal
Get Your Loan Funded, Sign the Paperwork and Get the Keys
Processing and underwriting
- The lender (that’s us) will review income, asset and credit documentation as well as information about the property.
- We will also order certain verifications, an appraisal and ‘title work’
Closing and funding
- We’ll arrange a meeting with a title company (the seller typically selects) where the legal paperwork is signed by all parties so that proper title of the home can be transferred and funds exchanged.
- When the final paperwork is signed and the funds are transferred to the seller, you’re given the keys and are ready to move into your home!