Purchasing a home is intimidating for many people. However, with some planning ahead of time, it isn't that complicated.
So you'll understand exactly what to expect, I like to supply my buyers with a road map of the entire deal.
Here are my nine steps to purchasing a home.
Step 1 – Get ready to purchase
There are a lot of things you should take into account before you search for a home.
It's likely that you'll want to make a list of features you need to have, plan for what school districts and neighborhoods you'd like to live in, and start working on your budget.
Ensuring your mortgage payment is less than 30 percent of your monthly income is a good rule to adhere to.
Step 2 – Get in touch with a real estate agent in Richmond
This is where Prudential Slater James River Realtors comes in.
We can set up a time to get together so we can talk about why you want to buy a home and get an idea of your upcoming plans.
We'll discuss neighborhoods, schools in the Richmond area, the mortgage industry, and any additional economic factors that could potentially affect your purchase today or in the future.
In addition, I'll help you facilitate the loan process.
There are some excellent mortgage professionals in Richmond, and I work with a lot of them, so you'll be in great hands.
They can assist you in determining which kind of loan is best for you and help you get approved.
Step 3 – Start house hunting
After we meet, I'll start looking for houses on the market that suit your needs.
I'll preview most of the houses and eliminate the duds, and then we'll set up appointments to tour the homes whenever it's convenient for you.
When we tour the homes, I'll show you the positive features, as well as bad ones. And I'll ask you what things you like and don't like.
It's common for buyers to update their must-have list as we tour houses and some features become far more substantial than others.
If such is the case, I'll search the listings again and narrow it down to the home you've been dreaming about.
Step 4 – Know the housing market
My awareness of the Richmond home market is an essential advantage in your search. I am mindful of all the neighborhoods and school districts, and I'll communicate certain areas are "hot" and demand prompt action and the ones that are "cold" and allow for more consideration.
When we tour houses, I'll let you know if the seller's asking price has room for bargaining or if I believe the house is "priced to sell."
Every REALTOR® will convince you they truly understand the home market, but trust your instincts, and make sure you ask plenty of questions.
If it doesn't seem like they know everything, call me at 804/320-1391 x4007 or e-mail me at sfrancisco@prurichmond.com, and I'll be glad to answer any questions you may have. My knowledge of the market will help you stay a step ahead throughout the entire deal.
Step 5 – Find the house of your dreams
I'm certain we'll find your dream house in Richmond. When that happens, I'll carefully develop your real estate purchase offer. The offer will be tailored to suit your needs, including many contingencies, such as obtaining financing, completing the inspection, and a clean title.
When we turn in your offer, you'll need to submit "earnest money." This is a cash deposit submitted to a seller to secure an offer to purchase the property, and it's most often put towards the closing costs. If the seller accepts the offer, we should close on the property within 30 to 60 days afterward. This allows enough time for your mortgage financing.
Step 6 – Negotiate
Unfortunately most contracts aren't closed on the first offer – it's pretty common to receive a counter offer. But don't let this intimidate you. We'll talk over whether or not to take the counter offer, present our own counter offer, or reject the seller's offer and go on.
The state of the market determines how aggressively we negotiate the contract.
In addition, we'll work within your financing limits. And when it's all said and done, we'll compose a deal that works well for you.
Step 7 – Get financing
After we sign the final deal, you'll begin working with your mortgage lender to close the loan.
If you've been pre-approved, it won't be a long process at all, but you need to stay in close contact with your mortgage lender.
And I'll handle all the property information your lender needs to close the loan.
Step 8 – Close the deal
Your lender will supply you with a Good Faith Estimate (GFE) of closing costs within three days of getting your application. You'll get a Good Faith Estimate (GFE) of closing costs from your lender within three days of getting your loan application.
The estimate rests on the loan amount, and RESPA requirements mandate that it has to include all closing costs and be within a tight range of accuracy. I'll examine the estimate and let you know if it all looks okay.
Then it's time to close on your house. This will likely happen at a title company or escrow office and will most likely be a smooth and pleasant event.
Step 9 – Move in
Success! Now you can move into your new house. Enjoy it. And if you need anything, make sure you contact me at 804/320-1391 x4007 or send me an e-mail.
