Buying or selling a home?
With some up-front planning, buying a home isn't all that confusing, but the event is stressful for many people.
I like to give buyers a road map of the entire deal so they understand exactly what they can expect.
These are my nine steps to buying a home.
If you have any questions regarding any of this information or if you're ready to get started, you can contact me here or e-mail me at .
Step 1 – Prepare to purchase a home
Before you start looking for a home, there are a lot of things you'll want to consider.
You'll most likely want to form a list of features you want to have, get an idea of what neighborhoods you'd like to live in, and start working on your budget.
Ensuring your mortgage payment is around a third of your net monthly income is a good rule to follow.
Step 2 – Connect with a real estate agent in Annapolis
This is where Berkshire Hathaway Home Services PenFed Realty can help.
We can plan a time to meet so we can talk about your real estate needs and get an idea of your future plans.
We'll talk about everything from neighborhoods, schools in the Annapolis area, the mortgage and housing industries, to any other economic factors that might affect your buying decision today or in the future.
In addition, I'll assist you with getting started on your loan.
There are some excellent mortgage professionals in Annapolis, and I partner with a lot of them, so you can rest assured that you're in great hands.
They can assist you with determining which type of loan is best for you and help you get qualified.
Step 3 – Begin your search
After our first meeting, I'll begin looking for homes on the market that are a great fit for you.
I'll preview most of the houses and reject the duds, and then we'll schedule appointments to tour the houses whenever it's most convenient for you.
As we tour the homes, I'll point out good features, as well as negative ones. I'll also ask you to point out what things you like and dislike.
Frequently, buyers change their must-have list as we view homes and some things become more substantial than others.
If that's the situation, I'll look through the listings again and narrow it down to the home of your dreams.
Step 4 – Comprehend the market
My knowledge of the Annapolis market is a necessary aspect in your home search. I'm acquainted with all the schools and neighborhoods, and I'll communicate some areas are "hot" and call for immediate action and the ones that are "cold" and allow for careful examination.
When we tour homes, I'll make sure to communicate if the seller's list price has room for negotiation or if I believe the home is "priced to sell."
When working with an agent, be on guard and be sure to ask plenty of questions, as any real estate agent will tell you they know the home market.
If things don't add up, just call me at 410-647-8000 ext. 817 or e-mail me at , and I'll be glad to answer any questions you have. My knowledge of the market will help you stay a step above the rest through the entire deal.
Step 5 – Find the home of your dreams
I'm positive we'll find your dream home in the Annapolis area. When we do, I'll precisely create your purchase offer. The offer will be tailored with your needs in mind and the home, including several contingencies. A few examples are obtaining financing, completing the inspection, and a clear title.
Upon turning in your offer, you'll likely need to submit "earnest money." This is a cash deposit made to the home seller to secure an offer to purchase the property, and it's typically applied to the closing costs. If the offer is accepted, we should close about 30 to 60 days afterward. This allows sufficient time for your mortgage financing.
Step 6 – Negotiate the deal
A lot of contracts aren't closed on the beginning offer. It's widely common to receive a counter offer. Don't let this alarm you. We'll talk over whether or not to consent to the counter offer, present our own counter offer, or reject the seller's offer and move on.
The state of the market will play a big part in how aggressively we negotiate the deal.
In addition, we'll work within your financing limits. And when it's all said and done, we'll assemble a deal that is best for you.
Step 7 – Obtain a loan
Once the deal is finalized, you'll start working with your lender to close the loan.
If you're already pre-qualified, it shouldn't be a long process at all, but you should to stay in close contact with your lender.
And I'll deal with all the property information your lender needs to close the loan.
Step 8 – Close the deal
Your lender will supply you with a Loan Estimate (LE) detailing your closing costs within three days of getting your loan application. You'll get a Loan Estimate (LE) outlining closing costs from your mortgage lender within three days of getting your loan application.
This estimate is based on the loan amount, and RESPA requirements require that it has to involve all closing costs and fall within a precise range of accuracy. I'll analyze the estimate and let you know if it all looks okay.
Then we'll close on your home. This will most often occur at a title company or escrow office and is often a smooth and easygoing occasion.
Step 9 – Move in
Congratulations! Now you can move into your new house. Enjoy it. And if you need anything, make sure you contact me at 410-647-8000 ext. 817 or e-mail me at .