If you’re like me, when i bought my first home I didn't understand the different terms and real estate jargon that you read in every article. It honestly makes the situation much worse. Well, we decided to make it easier for you and we researched the top ten steps you need to complete to buy a home.
Start researching real estate listings on popular websites like realtor.com or trulia.com.
You can also browse our hidden gems, which is a list of discounted properties in the North Texas area.
If you purchase a hidden gem you can save thousands in the purchase price of a home.
Browse Hidden Gems
The process of making a list of homes you are interested in can be overwhelming, but also exciting. It’s also the next step. Make your list of favorites and research how long they stay on the market. Make sure you are also checking any changes in the asking prices. This will give you an idea of the housing trends in specific areas.
Lenders typically recommend that home buyers search for homes that cost no more than three to five times their annual household income. There are affordability calculators that are available online that can help you make sense of what you can afford.
Do you know how much you can spend on your next home? If the answer is no, this is something you need to figure out. The easiest way to do that is to get qualified for a mortgage.
To get qualified, you need to supply some financial information and documentation to your mortgage banker. What is your income and the amount of savings and investments? These are questions your mortgage banker will ask you. The lender you choose will receive this information and will share how much they can lend you. This will tell you the price range of the homes you should be looking at.
After, you can get approved for credit, which involves providing your financial documents (paycheck stubs, bank account statements, W-2 documents etc.) so your lender can verify that you can buy a home in the first place.
Our partner real estate agents offer buyer assistance for FREE!. On top of that you can get a cash rebate at closing for qualified properties. Buyers rebate requires a minimum purchase price of $200,000. Homes over $500,000 are eligible for up to a 1% rebate.
Our agents are crucial individuals when you’re buying or selling a home. Real estate agents can explain to you the home buying process and provide essential information on homes and neighborhoods. Real estate agents have important knowledge pertaining to the home buying process, the talent of negotiation, and are usually familiar with the area you are looking to buy a house in.
And on top of that, it doesn’t cost you anything to use an agent as a home buyer– they’re paid from the commission fees paid
by the seller of the house you’re looking to buy.
Start taking tours of homes that are in your price range. This part of the process is exciting. Write down what you like and don’t like about each home and any other important information you may need to know later down the road. You could very well visit a lot of houses! So, writing information down about each one can help you remember key information about each one you look at. Take your time evaluating the homes you like. Next, meet up with your real estate agent to decide on an offer based on the value of comparable homes in the same neighborhood. After you and the seller of the home agree on a price, the house will go into escrow, which is the left over period of time it takes to finish all of the last steps in the home buying process.
Purchase offers are dependent on a home inspection of the property to check for signs of structural damage or things in the home that may need fixing. Your real estate agent will organize to have this inspection completed within a few days before your offer is accepted by the seller. This inspection provides you with time to make sure nothing is wrong with the home before buying it from the sellers. If there are issues with the home, this protects you from receiving a penalty and you are able to renegotiate your offer with the sellers.
Talk with one of our mortgage lenders. Lenders have a large range of priced loan programs and mortgage lenders can help assist you to make the process easier.
Next, you need to hire an appraiser. The Lender will arrange for an appraiser to provide you with an independent estimate of the value of the house you are buying from the sellers. The appraisal will let everyone involved know that you are paying a fair price for the home.
Unfortunately, there is a lot of paperwork involved when you’re buying a house. We know how much people love filling out paperwork. Your lender will organize the title company to deal with all of the paperwork and verify that the seller is the rightful owner of the house you are trying to buy.
At last you are finally closing on your new home. The closing involves signing all of the paperwork required to complete the purchase, including loan documents. It usually takes a couple of days for your loan to be funded after the paperwork is returned back to the lender. Once the check is given to the seller, you are ready to move into your new home! Hooray!
After reading this list, you now have a better understanding of the general home buying process. The home buying process can be daunting for many, but with this helpful list it will (hopefully) ease your mind. See, it isn’t so scary is it?