10 Steps to Buying a Home

We know the home buying process can be overwhelming, especially if it's your first time buying a home. To help you navigate the process, we have put the home buying process into ten simple steps.

1. Home Buying Consultation

A good place to start when beginning the home buying journey is to talk to a mortgage lender. Our consultation process is a simple, casual 10 minute phone or text conversation. During your consultation, we will ask you about the following details:

- Your estimated credit score. If you don't know, we can find out.

- Your employment history

- Your current income

- Down payment options

These details will help us to put you on the right path to homeownership.

2. Get Pre Approved

Getting preapproved is a simple process. Apply online or call us and we can take your application over the phone. The application takes a few minutes to complete.

We will ask you for the following documentation.

-2 most recent paystubs

-2 most recent years w-2 forms or tax returns, if self-employed

-2 most recent bank statements showing down payment funds

-Copy of your ID

In most cases, you will be preapproved same day!

3. Connect With a Real Estate Agent

After you get preapproved, it's time to get in touch with a real estate agent. If you don't already have an agent in mind, we can put you in contact with a few to choose from.

Having an agent on your side can give you an advantage when searching for a home. A good agent will have in-depth knowledge of the housing market, help you identify properties that meet your criteria and help you negotiate the best offer on the home you want to buy.

4. Home Search

During your home search, you and your agent will make appointments to view available homes on the market. Your agent can help you point out features and conditions that may be pros or cons for each particular property.

As you narrow down your home search, we are available to provide payment and closing cost estimates for your top choices. We want to make sure you understand your numbers before placing and offer.

5. Contract Negotiations

Once you have found the right home, you and your agent will submit an offer to the seller. When you make your offer, you will also include an contingencies, such as an appraisal, home inspection or home sale contingency. Be prepared for the seller to make a counter-offer. If this happens, you and your agent can decide to accept or counter with terms that are acceptable to you.

6. Loan Processing and Underwriting

After you have a signed contract, your loan will be processed. During this stage, your loan processor will walk you through signing your initial disclosures. One of the most important initial disclosures is your Loan Estimate which details your terms and the cost of the transaction.

If necessary, your loan processor may need request updated income and asset documents if the documents provided at the time of preapproval are outdated. From here, your loan processor will work with the underwriter to get your loan final approved.

7. Home Inspection

While your loan is being processed, your agent will schedule a home inspection. A licensed home inspector will examine the home for structural, electrical, mechanical or plumbing defects.

If your contract contains a home inspection contingency, you have the seller fix certain items, renegotiate terms, or cancel the contract based on the home inspection results.

8. Appraisal

Your appraisal will also be ordered while your loan is being processed. A licensed appraiser will visit the property and establish a value for the home. The appraiser will examine both the interior and exterior of the house, narrowing in on the condition, size, quality of construction and amenities. The appraiser will compare the home to similar, nearby sold properties to determine the value of the home.

The appraisal insures the property serves as adequate collateral for your loan, as well as to provide you with an independent opinion of its value. If the appraised value is lower than your sales price, you can renegotiate the price with the seller, assuming your contract contains an appraisal contingency.

9. Final Approval

Once all conditions for your loan have be cleared by underwriting, we will issue your final approval and prepare your closing documents.

At least three days prior to your closing date, we will provide you with the Closing Disclosure. This document will detail your loan terms, final amounts for payments and closing costs, and provide an exact cash to close figure. You will wire any required funds directly to the closing attorney. We pride ourselves on making sure there are no surprises with the Closing Disclosure.

10. Closing Day

On the day of closing, we will meet you at the closing attorney or title company's office. At closing, you will sign documents such as your final Closing Disclosure, Note, Mortgage or Deed of Trust, and a collection of standard documents pertaining to your loan. Your closing attorney, loan officer and real estate agent will be able to answer any questions you have.

Once you have signed, your closing attorney will swap documents and funds with the seller's closing attorney, making your new home officially yours!

How I Can Help You

When it comes time to purchase a home or refinance an existing loan, I want to help you! Hopefully articles like this give you good information and a better understanding of the mortgage world but let me use my experience and expertise to help you with your particular situation.

I tell my clients and referral partners that a mortgage transaction starts with a simple conversation. Let’s talk about your financial situation, budget, and goals so that I can help you determine the best solution for you. During a 10-minute informal conversation, we can get you on the right path as it relates to a home purchase or mortgage refinance.