Purchasing a home is intimidating for many people, but it's not that confusing with a bit of up-front planning.
So you understand exactly what to expect, I like to provide my buyers with an outline of the whole deal.
These are my nine steps to buying a home.
Step 1 – Prepare to buy
Before you begin looking for a home, there are several things you need to do.
You'll probably want to create a check list of items you need, plan for what school districts and neighborhoods you want to live in, and start working on your budget.
A good principle to follow is that your mortgage payment should be 30 percent of your net monthly income.
Step 2 – Speak with a real estate agent in Puyallup
That's where I come in.
We'll plan a time to meet so we can talk about your real estate needs and get an idea of your future plans.
We'll discuss the mortgage industry, other economic factors that could affect your purchase today or in the future, as well as neighborhoods and schools in the Puyallup area.
I can also help you begin the loan process.
Trey Affolter, Keller Williams Realty works with some of Puyallup's best mortgage professionals, so you'll be in great hands.
They can assist you in figuring out which type of loan is best for you and help you get qualified.
Step 3 – Start your search
After we meet for the first time, I'll start looking for houses on the market that suit your needs.
I'll preview many of the homes and throw out the duds, and then we'll set up appointments to view the homes whenever it's convenient for you.
When we view houses, I'll show you the positive features and negative ones. I'll also ask you what things you like and don't like.
It's pretty common for buyers to revise their list of must-haves as we tour houses and some features become far more necessary than others.
If such is the case, I'll go back through the listings once more and narrow it down to the home you've been dreaming about.
Step 4 – Understand the housing market
An agent's understanding of the Puyallup housing market is an imperative element in your home search. And I assure you I'm conscious of all the neighborhoods and schools, and I'll alert you to which areas are "hot" and call for prompt action and others that are "cool" and allow for careful examination.
As we tour homes, I'll make sure to communicate if the list price has room for bargaining or if I believe the home is "priced to sell."
When working with an agent, be careful and make sure you ask lots of questions, as every real estate agent in Puyallup will claim to understand the market.
If it appears they don't know everything, call me at 253-881-4109 or e-mail me at treyaffolter@kw.com, and I'll be glad to answer any questions you may have. My market knowledge will help you stay a step above the rest throughout the entire deal.
Step 5 – Find the home you've been looking for
We'll find the house of your dreams in Puyallup, and when that happens, I'll thoroughly create your real estate purchase offer. The offer will be written to suit your needs. Whenever necessary, I never forget to make contracts contingent upon items like acquiring financing and the results of the home inspection.
Upon turning in your offer, most likely you'll want to present "earnest money." This is a cash deposit submitted to the home seller to secure an offer to purchase the property. The amount is often applied to the closing costs. If the seller accepts your offer, we should close on the home within 30 to 60 days afterward. This allows sufficient time for your mortgage financing.
Step 6 – Negotiate the deal
A lot of deals aren't closed on the initial offer, and it's pretty common to receive a counter offer. But don't let this alarm you. We'll talk about whether or not to agree to the counter offer, submit our own counter offer, or reject the seller's offer and move on.
The state of the market determines how aggressively we negotiate the deal.
We'll also work within your financing limits. And at the end of the day, we'll compose a deal that works well for you.
Step 7 – Obtain a loan
Upon finalizing the deal, you'll start working with your mortgage lender to close the loan.
If you're pre-approved, it shouldn't be a long process at all, but you'll need to stay in close contact with your lender.
And I'll look after all the property information your mortgage lender needs to close the loan.
Step 8 – Close the deal
Your lender will send you a Good Faith Estimate (GFE) detailing closing costs within three days of receiving your loan application. You'll get a Good Faith Estimate (GFE) detailing closing costs from your lender within three days of getting your application.
This estimate is based on the loan amount. RESPA requirements order that it has to include all closing costs and be within a tight range of accuracy, and I'll study the estimate and let you know if it all looks okay.
Then it's time to close on your house. This will most likely occur at a title company or escrow office and will likely be a smooth and stress-free occasion.
Step 9 – Move in
You made it! It's time to move into your new home. Enjoy it. And if you have any questions, just call me at 253-881-4109 or send me an e-mail.
