Buying a home is stressful for most people. However, with a bit of planning ahead of time, it isn't all that confusing.
I like to furnish buyers with an overview of the entire deal so they'll know exactly what they can expect.
Here are my nine steps to purchasing a home.
Step 1 – Get ready to buy
Before you begin searching for a home, there are several things you should contemplate.
You'll probably want to form a check list of features you want to have, get a feel for what school districts and neighborhoods you'd like to live in, and start planning around your budget.
Keeping your mortgage payment less than or around a third of your monthly income is a good rule to go by.
Step 2 – Talk to a real estate agent
This is where RE/MAX Professionals can help.
I'd be more than happy to schedule a time to get together with you and communicate with you regarding your real estate needs and get an idea of your plans for the future.
We'll discuss the mortgage and housing industries, other economic factors that might affect your purchase today or in the future, as well as neighborhoods and school districts in the greater Washington, Baltimore and Annapolis areas area.
I'll also help you get started on your loan.
RE/MAX Professionals works with some of the best mortgage professionals in greater Washington, Baltimore and Annapolis areas, so you'll be in great hands.
They can assist you with deciding which kind of loan is best for you and help you get approved.
Step 3 – Start your search
Following our first meeting, I'll begin looking for available homes on the market that meet your needs.
I'll get a sneak peek of most of the houses and throw out the bad ones, and then we'll schedule appointments to tour the houses when it's convenient for you.
When we tour the houses, I'll identify positive features and negative ones. I'll also ask you what things you like and dislike.
Usually, buyers update their list of must-haves as we tour homes and some features become more crucial than others.
If that happens, I'll search all the listings once again and narrow it down to the home you've been waiting for.
Step 4 – Know the housing market
Your agent's knowledge of the greater Washington, Baltimore and Annapolis areas housing market is a fundamental element in your house search. And I assure you I'm acquainted with all the schools and neighborhoods, and I will communicate which districts are "hot" and require prompt action and others that are "cool" and allow for thoughtful examination.
As we view homes, I'll let you know when the asking price has room for negotiation and when I think the home is "priced to sell."
Every real estate agent will tell you they understand the home market, but be on guard, and make sure you ask your agent a lot of questions.
If things don't add up, contact me at (301) 572-2226 or e-mail me at paul@marylandhomes.org, and I'll be happy to answer any questions you have. My market knowledge will keep you a step above the rest through the entire process.
Step 5 – Find the house you've been waiting for
I'm sure we'll find your dream home in greater Washington, Baltimore and Annapolis areas. When that happens, I'll meticulously develop your purchase offer. The offer will be tailored keeping your needs in mind, including several contingencies. A few examples are getting financing, carrying out the home inspection, and a clear title.
When sending in your offer, most likely you'll want to present "earnest money." This is a cash deposit made to the seller to secure the offer to purchase the property. The amount is often put towards the cost of closing. If the seller accepts your offer, we should close on the property within 30 to 60 days after. This allows enough time for your mortgage financing.
Step 6 – Negotiate
Unfortunately most deals aren't closed on the initial offer, and it's pretty common to receive a counter offer. Don't let this alarm you. We'll figure out whether or not to accept the counter offer, propose our own counter offer, or refuse the seller's offer and go on.
Market conditions will play a large role in how aggressively we negotiate the deal.
In addition, we'll work within your budget. And when it's all said and done, we'll formulate a contract that works well for you.
Step 7 – Get your loan
Upon completion of the contract, you'll start working with your mortgage lender to close the loan.
If you're pre-approved, this shouldn't take very long at all, but you need to keep in close contact with your mortgage lender.
And I'll care for all the property information your mortgage lender needs to close the loan.
Step 8 – Close the deal
Your lender will send you a Good Faith Estimate (GFE) of closing costs within three days of receiving your application. You'll get a Good Faith Estimate (GFE) of closing costs from your lender within three days of taking your loan application.
The estimate is formed from the loan amount, and RESPA requirements dictate that it has to involve all closing costs and fall within a precise range of accuracy. I'll analyze the estimate and let you know if it all looks all right.
Then it's time to close on your house. This will likely take place at a title company or escrow office and will probably be a smooth and relaxed occasion.
Step 9 – Move in
You made it! It's time to move into your new home. Enjoy it. And if you need anything, just call me at (301) 572-2226 or send me an e-mail.
