Nine Steps to Home Ownership

Consider the reasons you want a new  home and write them down. Reasons vary tremendously as some buyers want a first home; others need a vacation home, while someone may need a larger home for a growing family. Determine how long you want to live in the new home. Can you afford a house that will meet your list of requirements? A good rule of thumb is your mortgage payment should not exceed 1/3 of your net monthly income.

Next, contact a real estate professional to help you find the right home that meets your criteria and budget. When we meet with you, we'll discuss  neighborhoods, schools, shopping and recreational areas,  location to employment,  and economic factors that could affect the market today and in the future.

At this time, we will also help you get pre-qualified for a mortgage loan. Pre-qualification is a written statement from a loan officer indicating his or her opinion that you will be approved for a mortgage loan up to a certain amount. The fact that you are pre-qualified will help us when we are negotiating the purchase.

After the initial meeting, we'll search all our resources for homes on the market that fit your criteria. We'll review these homes with you so you can determine those that you would like to visit. Then, we'll schedule appointments to tour the homes at times convenient for you.

As we tour the homes, you'll probably amend your "wish list" as  some amenities will become more important and others less. With this new information, we'll refine our search criteria to narrow in on the home of your dreams.

Our knowledge of the local market is an essential factor in the home search. As we tour homes, we'll let you know when the asking price has negotiating room and when the house is "priced to sell." Our unique market knowledge will keep you a step ahead of other buyers in the marketplace.

In a "seller's market," It is not unusual to see multiple offers on a property, full-price offers and even above-price offers. On the flip side, during a "buyer's market" there are more homes for sale than buyers. This gives us more negotiating room as homes are taking longer to sell.

We're confident we'll find your dream home. When we do, we'll put together the purchase offer tailored for your needs including appropriate contingencies (such as obtaining financing, satisfactory and acceptable home inspection, clear title, etc.).

The offer is normally presented with "earnest money." This is a cash deposit made to a home seller to secure an offer to buy the property, and is applied to the purchase price. If the seller accepts the offer, generally closing is held 30 to 60 days from the offer date dependent on the turn around time of your mortgage financing if needed.

It is not uncommon to receive a counter offer when the initial purchase offer is submitted. Don't let this discourage you. We will discuss the counter offer and decide whether or not to accept the counter offer, submit our own counter offer, or reject the counter offer and move on.

Market conditions will play a role in how aggressively we negotiate the purchase.

During the closing period, you will be working with your mortgage lender to secure the loan. Since you pre-qualified for the loan before starting your home search, you will be that much closer to the end. We'll gather the necessary property information your lender will need to approve the loan.

You will receive a "Good Faith Estimate" of closing costs at the time the loan application is submitted to the lender. We will review the estimate sheet and discuss each of the costs with you. No one likes surprises and we want to ensure that you have a good understanding of any costs associated with the purchase.

Congratulations! It's time to move into your new home. We'll assist you with a reminder checklist of important companies to contact before your move such as utilities, lawn and pool services, mail forwarding, address changes on licenses, etc.