Buying a home is a significant and exciting decision. This section provides professional real estate advice and helpful home buying tips.
What are the steps to take in purchasing a home Let’s break it down into a few categories:
What are the steps to take in purchasing a home Let’s break it down into a few categories:
When purchasing a home there are several things to consider. Finances are of course the biggest piece of the puzzle. Definitely check out the Q/A section from how to apply for a loan to the different types of loans.
Now that you’ve looked over your finances and have made the decision to move forward to purchase a home let’s discuss the process to take in getting the right loan for you. Start getting your financial documents in order because your Loan Officer is going to need them. Here’s a list of documents most mortgage companies will required:
A few questions you will want to ask your mortgage professional about the type of loans:
Now comes the fun part. By now you should be working with a REALTOR®. Did you know that it doesn’t cost you anything to work with a REALTOR® when buying a home The Real Estate agent is paid by the Seller, not by the buyer. The REALTOR® is your best friend through this process. They will be able to now only help you find the perfect home, but will assist you through the entire process all the way to move in day. The fun part begins after you have been preapproved, and you’ve discussed the different loan options with your mortgage professional. We know that over 90% of people begin their home search online. The CENTURY 21 Scheetz website displays all the homes for sale in the entire Metropolitan Indianapolis Area, as well as showing the details of the homes sold in your area. We know that people use their mobile phone when they are out and about so before you begin driving around looking at houses make sure to download the CENTURY 21® app called CENTURY 21® Real Estate Mobile from the iTunes store. You will have a good time with this app and it will show you all homes for sale.
Go back to your wish list (LINK TO WISH LIST) to help guide you and help you determine what criteria is most important to you in finding a home. Here are a few questions to keep in mind that can help guide you
Sounds silly right But when you are shopping for a home it can become confusing if you’ve looked at several different houses. The average home buyer looks at about 10 homes before making a choice. By that time they can all begin to sound and look the same to you. Keep a journal detailing each home and why you liked it. You may even want to snap a couple pictures so you can really keep everything clear.
As you walk through the house take note of the roof, how old is it Have there been any major repairs Is there any mold in the house What are the taxes on the house What is the average utility bill There are so many things to look for when purchasing a home that is why it is so important to keep good notes!
There’s nothing wrong with buying a foreclosure, unfortunately it is the market in which we all reside. However, there are a few things you should be aware of if you choose to purchase a Foreclosure or Short Sale Property.
It’s getting close! You’ve found the house you like! You and your REALTOR will discuss the offer and your REALTOR will complete the purchase agreement to send the Selling Agent. The purchase agreement will include items such as:
Depending upon your offer your REALTOR may receive a counter offer from the Sellers in which you and your realtor will respond accordingly.
You’ve agreed upon the terms of the sale and now you’re ready to continue the process.
A Title company will check the property’s title records, will look for liens, and any overdue assessments or claims on the property that might cause a delay in the closing or cause the closing not to take place at all.
Your lender wants to know that you will be purchasing a home of greater than or equal to market value. The appraiser will evaluate the comparison homes in the area which have sold to determine what the market says your home is worth. If the appraisal comes back equal to or greater than the loan amount you have offered on the home then all is good. If the appraised value of the home comes back and is lower than your purchase offer then typically all is not good. There are several things that can happen when an appraised value of the home is lower than what you have offered to pay.
Your REALTOR explained to you the appraisal contingency and the inspection contingency in the purchase agreement. The home is contingent upon no major defects being found where the seller is not willing to correct them.
During the inspection the professional home inspector checks the condition of the home to make sure it is structurally sound and looks for issues that could potentially become costly disasters. A typical inspection covers all major mechanical systems, structural integrity, cosmetic features and other aspects of the house.
Once the inspection is complete a report is sent to your REALTOR. You REALTOR will discuss the report with you to determine what items you will either request the seller to correct, or provide money at closing for you to correct the issues.
Your lender requires proof of a valid homeowner’s insurance policy prior to closing. Your homeowner’s policy should cover the cost of rebuilding your home at today’s prices.
Homeowners insurance should cover casualty or hazard and helps rebuild or repair your home should it be destroyed by:
It should also cover liability or lawsuits resulting from injuries to people who come on your property. You can decide if you want actual cash value or replacement coverage on personal property.
There is a lot included in your homeowner’s insurance policy. Be sure to shop around for the best value that fits your needs.
If your seller did not offer a home warranty as part of the sale you may either negotiate that as a contingency for the sale, or purchase Home Warranty on your own for your new home. The last thing you want to deal with is moving into your new home and having something break. You home warranty covers many things in the home that are typically large items to replace. Check out the Home Warranty information.
A couple days before closing do a final walkthrough of the property. Check the items you asked the seller to fix and if you requested items to remain in the house ensure they are still there.
It seems like a long process but you are almost ready to move into your new home. Your REALTOR will let you know the closing date, time and location. During the closing time there will be a plethora of paperwork for you to sign. Don’t be afraid to ask questions during this time if you don’t understand any of the paperwork you are signing.
Once the closing takes place you are ready for your big move! Congratulations!!