Steps to Buying a Home
Figure Out What You Can Afford
Determine what you'll be able to afford in mortgage payments each month, as well as what you can invest initially as a down payment.
Shop for a Loan
Find a trustworthy lender and determining what type of loan you'll qualify for will help you figure out how much home you can actually afford. Get recommendations for your Realtor on the most commonly used loan agencies.
Determine the Selling Price of Homes in Your Location
Find out the actual selling price of homes in that area - not just their listing price—to confirm whether you can actually afford that location.
Find an Realtor
It is usually recommended to work with a Realtor or a experienced buyer when looking to purchase a home. Your Realtor should be some you can trust an is an expert in the area that you are looking to purchase a home.
Looking for a Home
When you are in the market for a home it is recommended to visit open houses, tour homes, and make note of the things you liked or didn't about the home. Also keep detailed records of the homes you visit, noting things like the pros and cons, etc. Taking pictures can also keep your memory fresh.
Make an Offer
When you find your favorite home, work with your agent to determine a competitive but reasonable offering price. You'll want to choose a number that is comfortably within your price range but competitive enough that it won't cause the seller to immediately reject your offer.
Get an Inspection
Make sure you're getting your money's worth! Ask your Realtor to recommend a trusted home inspector to walk through the house and check for any potential defects or problems. If necessary, you can request that the seller repair any issues you find.
Review Your Contract
Before you sign any paperwork, it's important that you carefully read over the contract with your Realtor or lawyer to ensure there are contingencies - that is, if something falls through with your mortgage, you aren't still obligated to buy the home.
Finalize Your Mortgage Approval
Work with your chosen lender to submit your mortgage application, review predicted closing costs, and have your home appraised. Common closing costs include attorney fees, title insurance, appraisal fees, home inspection fees, courier fees, government recording fees, and taxes.
Close and Pay
It's time to close! Meet with your Realtor, lender, and the seller to finalize the paperwork, sign your contracts, and pay your down payment and closing costs.