10 STEPS TO HOME OWNERSHIP

  

1. Gather the facts

Take a look at all of the factors that go into buying a new home.  Are you ready?  Do you have the financial backing?  Research the neighborhoods you are interested in living in and investigate the schools and cost of living to determine which is right for you and your family.

 

2. Find a lender

Calculate how much money you are eligible to borrow in order to purchase your home.  You can also discuss credit and other loan matters that you have questions about with your lender.

 

3. Get pre-approved

Once you are between 60 and 90 days of actively house hunting and purchasing a home, you must go through the pre-approval process.  Your lender will be able to tell you exactly how much house you can afford.  And then you can search accordingly.  

 

4. Search for a house

You may choose to use a realtor or not, it is your own personal choice.  If you choose to use a realtor, they will help you negotiating prices and assist you through the whole process.  

 

4. Make an offer

Once you have found a house, you need to make a written offer.  From their the negotiations begin. 

 

5. Apply for a loan

Once you have found your home, and your offer has been accepted, it is time to fill out your loan application.  You should meet with your lender and they will    help you to complete the application process.  At this time you will find out an estimate of costs needed for closing and for the down payment.  Take this time with your lender to ask any questions that you have, it is their job to help you and answer anything that concerns you. On average the loan processing takes about 4 to 6 weeks.  Stay in touch with your lender and make sure that your application is being processed accordingly.

 

6. Arrange for a home inspection

Inspections will disclose any defects in the property that could materially affect its safety, livability, or resale value.  Do not wait too long to have your home inspected however, there will be a time limit in the contract designating when the inspection should be completed (usually between 7 to 14 days).

 

7. Secure homeowners insurance

Unless you pay cash for your home, one of the requirements that will be made by your lender is proof of a valid homeowners insurance policy, secured before closing. This policy will protect both your investment as well as the lender's.  Investigate your best deal here, as it is a long term expense.

 

8. The closing

Arrange for a closing agent or attorney.  You are going to be required to sign a lot of documents; make sure you understand everything that you are signing, if you don’t, ask questions!  For any amount of money that you are paying, you will need a certified or cashier’s check.  At this time the owner will turn over the keys and give you any additional information needed about the house.

 

9. Hire a moving company

Make comparisons in price and reserve time now.  Make a checklist of what you need and where you will put it to avoid stress later.

 

10. Enjoy!

Maintain your home seasonally.  Take pleasure in everything that comes along with owning your very own home!