5 Step Process to Buying a Home:
Step 1: Establishing what you need and what you want
The first step is creating a prioritized list of features you need to have in your next home and the reasons why. This can be used as the basis for all your search criteria. In addition to this, compile a list of wants for the new property. That is to say, items which you would like to have but are not necessarily something you have to have. Given these lists, you can compare them to the amount you wanted to spend or are qualified to spend and the properties you are considering. Having these separated will ensure that you purchase a home that at a minimum meets your needs, and then depending on funding, can help determine items or features that may also be an option.
Additionally, and very importantly, location is a huge part of any move. It is a good idea to meet with a real estate strategist and examine multiple locations as they can help show market trends in the area, comparable sales or investments, etc. that can also be influential in your decision making process.
Step 2: Determining the amount you truly can afford
We think it is always best to work from what you can afford to what you need and want. At Strategic Financial Real Estate, a strategist will do more than just direct you to a loan officer, they will help get you a realistic cost for your new prospective purchase including not only price, but also maintenance. Many people but the most house they can afford from a lending prospective and then overlook what it is going to take to furnish, maintain, and support the new property. Strategic makes it a priority for clients to get a place they can truly call home, while not getting in over their head. We work with mortgage brokers and to help ensure that the place you are looking at is an overall fit and is affordable. Teaming with our partners at Strategic Financial Mortgage, we then can get the pre-approval process taken care of quickly and efficiently, but most importantly, accurately.
After looking at income, loan amounts, interest rates, and estimated payments, you should have a good idea of what to be looking for, as well as you will be further along in the qualification process. Taking these steps puts you in line to take the next step knowing what you can afford and being able to provide documentation to a prospective seller so they know you are a serious prospect. To inquire more about the mortgage process, call your strategist right away. Now you are ready to move on to the fun part!....
Step 3: Looking for your new home
Now that you have determined your criteria, you are ready to start looking for and touring houses. All of your finance issues should be clear, the area should be relatively set, and you have the minimum that you are looking for given the previous conditions.
From here, you can utilize the website as well as your strategist here at Strategic Financial Real Estate to start presenting and analyzing actual prospects. Searching online helps save time and is an efficient way to prescreen properties to determine their potential. This helps spend your valuable time efficiently. Almost all properties on the internet can be viewed and examined to see if they fit what you are looking for with many of them including pictures as well as virtual tours to get an up close look and feel for a place. After doing this, you can take your list and examine the prospects provided by your agent strategist and determine a schedule to physically tour the properties. In addition to this, your agent here receives up to date information on all new listings as well and can even have them emailed to you as soon as they become available! The final part of this process is to actually visit the properties.
Your strategist will set up showings for you and guide you through the properties. This is helpful as they can point out items that are in line with the current real estate trends as well as recommend additional inspections. From here, you can search until you find the right house for you. In the event you don't find the perfect house, our strategists are also experienced in assisting with the prospect of building. Call for additional information regarding new building.
Step 4: Time for Contracts and Offers
Once the right home has been selected, the next step involves writing the offer. This can be quite overwhelming for many, however, here at Strategic Financial Real Estate, we take all the mystery out of it for you. We explain the details to you very clearly and prepare all of the necessary items needed. Although it is recommended that an attorney review the contracts and all counteroffers, your agent has access to board certified contracts that are acceptable and very familiar to those in the surrounding markets. Typically, this is a very difficult and stressful time for both buyers and sellers as it is emotional. We make it a point to stress that although it is an emotional situation, that it is also a very important financial transaction. You should try to stay calm and recognize that if poor decision and conclusions are jumped to, it may prove to be very difficult down the road financially if you ever want to sell or change. By having an experienced agent by your side, they can act as the point of contact and keep things in perspective through the negotiations process. They can help keep open lines of communication as well as help deflect items that may cause harm and jeopardize the potential purchase or sale. Additionally, our experienced agents can help present ideas and options that may vary from the standard, however still accomplish our clients' goals through creativity. This can prove very useful in the later stages of negotiations. As all this transpires, the ultimate goal is to get a property that meets the clients wishes and hopefully enter contract. Only one more step from here….
Step 5: Inspections, Title and Closing
The last stage of the process is the final closing. At this point you should be through or near having all your inspections complete, title company arranged, financing, and closing date and time set. Hopefully you or your agent has completed everything accordingly and all should be in order. In the event of any inspection issues, your agent can help you through the remedy process and hopefully on to closing. Once all the details have been completed we move on to the closing table to seal the deal.
Prior to closing, double check one more time that all the details have been worked out and that all has been executed accordingly. The day of the closing make sure you have had time to review all items that need reviewing and bring all the necessary documentation to the closing, such as identification, certified funds if necessary, etc. In the event that the mortgage, title work, homeowners insurance and other items necessary are not completed and brought to the closing table, the closing may not take place until they are corrected or completed. A delay often can cause large problems so it is better to complete things and be prepared the first time, though it is not uncommon to have minor changes needed last minute. After that process, all that is left are for signatures and funds to exchange sides. Once this is completed…..
Congratulations, you are the happy new owner of a new home!