The Home Buying Process
Buying home can be an overwhelming process. Fortunately an excellent Realtor can guide you through the process and help get your foot in the door, literally! By the way, the seller generally pays the Realtor's commission, so as a buyer, using a Realtor to represent you does not cost you any fees!
Buying a home is actually a simple process, and when you work together with real estate professionals, you will have fabulous results! The following is an overview of the home-buying process. Each step provides a basic overview with a link to additional info. Or at any time, you can contact the dean to review the process and guide you step by step.
Step 1 - Get Pre-Qualified
One of the First steps in finding a home is to speak to a reliable mortgage representative and determine what type of mortgage you can qualify for and how much you can qualify for; this is called "getting pre-qualified". You may also take this step after speaking to a Realtor.
Step 2 - Speak with a Real Estate Broker
You should choose a Realtor that you feel comfortable working with. Don't be afraid to interview the Realtor. Discuss your situation with the Realtor and ask what he/she can offer you. For some sample questions please review How to Interview a Realtor.
Step 3 - The Home Search Process
Your Realtor will create a "search profile" for you. This is a fabulous feature where you will receive all of the homes currently listed in the MLS (Multiple Listing Service) that match your needs. You choose the homesthat are of interest. Many buyers also like to do "drive-bys" of the homes to determine if they like the neighborhood. From this list you will make arrangements with your Realtor to view the homes.
Step 4 - Negotiating the Price and Terms & Conditions
Once you have found a home you would like to buy, your Realtor can help provide you with great information to help make a deal. A few important steps include determining what similar homes have sold for, structuring the deal with earnest money, terms and conditions, the right to do inspections, buying with a mortgage, etc. Your Realtor will facilitate negotiating "your" price utilizing many tools available, i.e., seller price, motivation, condition etc.
Step 5 - Getting your Dream Home "Under Contract"
After your offer is accepted, your Realtor will prepare the contracts and walk you through the execution process. After all parties sign the contracts and all parties have an original copy in hand, the attorney review process will begin. At this point, utilizing an attorney is a recommended step. You can choose any attorney that you already know or your Realtor can generally recommend several real estate attorneys.
Step 6 - The Contract Process
There are a few "milestones" to follow:
1. Getting out of attorney review - once we are out of attorney review, you are now under contract and your additional deposits will be due.
2. You will generally have 14 days to complete a home inspection.
3. Once out of attorney review, you officially apply for your mortgage, and your mortgage commitment is due usually within 30 days.
Please review the Process & Contract Milestone Chart
Step 7 - Getting to the Closing Table!
Needless to say, getting to the closing table is the primary goal! Like a well-orchestrated symphony, your team should all work together to have a smooth and successful closing. Your Realtor, mortgage company, attorney/title agency, and you are all working together! There are many tasks to accomplish, and working with a great team will ensure your success.