First Time Home Buyers

Okay, you are finally ready to make your first home purchase. What now? Here is your immediate plan of action to make a successful home purchase. This process could take as little as 30 days but could take up to 1 year for certain buyer’s. The market average this past year was 12 weeks of search time and 12 homes so just hope you find your dream home within the national average time frame.

Get Pre-Approved

There are an abundance of banks that you could get a pre-approval through but be very selective of who you choose to work with as all lenders are not created equal. Choose a lender that provides you the best interest rate and the least closing costs. Also, try to use a lender with a proven track record as you want to avoid “unreliable pre-approvals” and long closing delays. Work with a lender that asks you questions and invites questions to be asked. Find a responsible lender that explains credit risks and different loan options to allow you to make the best home financing decision. Also, there aren’t any advantages using a mortgage lender or a mortgage broker except for the non-proven fact that banks or direct lenders charge less in closing costs. By comparing good faith estimates and truth in lending statements, you can see your true cost of credit with whomever you choose to obtain your home financing thru. When you have chosen your loan officer and you do have your loan pre-approval, make sure to have your loan officer forward your pre-approval to your realtor.

Tailor your search to meet your home search criteria

Take time to think about the 5 top characteristics you would love to have when you purchase your new home so your realtor can tailor a search that meets all of your required future home characteristics. When purchasing a new home, you should try to have an exact idea of the type of home you are looking for. Although this may seem harder than it sounds, it really isn’t. Try to prioritize your top must haves in a home. You want to make home preference choices that your realtor can take into consideration when creating a promising home search. Things you might want to specify are area, age, school district, style of home, bedrooms, bathrooms, etc. You also want to remember not to have too many restrictions as you may accidentally ostracize homes that you may be interested in by having too many search parameters. Once you establish a solid search foundation, your realtor has the ability to send you automated customized listings thru e-mail. You may want to ask your realtor if he/she has a website that will allow you to proactively search homes at your convenience.

Start Home Shopping

Once you find a few prospective homes, contact your realtor immediately to set up your showings as homes today are selling very quickly. You want to make sure you and your realtor are constantly searching proactively as your dream home could pass you by at any moment.

Placing an Offer

When you find a prospective home that you would like to place an offer on, make sure to place your offer immediately. Each home offer is unique so you must offer accordingly. For example, an offer on an underpriced bank-owned home may require you to offer above asking price whereas a similar bank owned home with more needed repairs may be purchased for 10%-30% less then asking price. Whatever the offer, time is of the essence as 1 day could make all the difference. When a home is really in demand and a multiple offer situation occurs, the result simulates that of an auction in that buyers blind bid their highest and best offers in an effort to have purchasing rights on the subject home. Listing agents can’t disclose other offers received for ethic reasons and this is the reason that the above mentioned situation effectively transforms into a bidding war. The best advice is to just place the offer that you would feel most comfortable with in the whether your offer is accepted or rejected. Place an offer at the point that if you were to lose the home because you didn’t want to go any higher on the price, you will still be able to sleep comfortably at night knowing that you did what was in your best interest. In regards to placing offers on homes, one more point to note is that the strongest offer usually wins. The strongest offer entails yielding the highest probability of a closed end deal at the highest price for the seller. This means that if you are obtaining an FHA loan with a 3.5% down payment and have a higher offer then a full asking price cash deal, the seller’s might decide to go with the lower price offer because of the almost certainty of the deal closing. Again, each situation is different and unique so this above scenario might not always apply. Don’t feel dejected if your first offer isn’t accepted as the national offer average is at 3 before an offer is accepted but there still is a strong chance for a first offer acceptance by the seller if your offer is appealing enough.

Your Offer Has Been Accepted

This is an exciting time because your offer was just accepted! Now you have to make certain some things before you can purchase your home. You are now going to conduct a home inspection within the next 7-10 days to make sure that you know exactly what the condition is of what you are buying. By conducting a home inspection you can foresee what your immediate and future costs are going to be associated with this particular home and you can also make sure that the home is in the condition warranted to you in the seller’s disclosures. If you are satisfied with the results of your home inspection, you can then move forward with your home loan. Talk to your loan officer about what this process entails.

The Closing

You have been waiting for this happy and joyous day for a long time and the past month seems to have stretched over a 3 year period but now you are finally ready to close! The closing will usually take place at the seller’s chosen title company. If you are married, you will need to be there with your spouse whether they are on the mortgage loan or not. You will have to bring your cash for closing in the form of a certified check and a copy of your driver’s license. You will most likely be placed in a room for the closing along with your realtor, the seller, the seller’s agent, and your closing agent. If you have a mortgage, you should look forward to signing anywhere from 70-100 pages so get your signing hand ready! After the closing, in most situations, you will get copies of your closing documents and your keys to your new home immediately after the closing. At this point, you are now a proud homeowner and the home buying process is complete. Congrats on your new home purchase!

| 100-101 | | 9L0-012 | | 642-999 | | 300-115 | | MB5-705 | | 70-461 | | 810-403 | | 200-120 | | 400-101 | | CISSP | | 300-320 | 200-120 210-260 200-310 SY0-401 810-403 300-320 400-101 70-533 N10-006 MB2-707 810-403 200-120 400-101 CISSP 300-320 350-018 810-403 200-120 400-101 CISSP 300-320 350-018 300-101 210-260 300-208 MB2-707 400-201 SY0-401 70-462 EX200 100-101 1Z0-803 200-120 210-260 200-310 SY0-401 810-403 300-320 400-101 70-533 N10-006 MB2-707 1Z0-060 400-051 300-075 MB2-704 100-101 MB2-704 100-101 9L0-012 642-999 300-115 MB5-705 70-461 1V0-601 300-206 352-001 70-486 300-135 NS0-157 PR000041 300-101 70-346 810-403 810-403 200-120 400-101 CISSP 300-320 350-018 300-101 210-260 300-208 MB2-707 400-201 SY0-401 70-462 EX200 100-101 1Z0-803 300-208 MB2-707 400-201 SY0-401 70-462 EX200 100-101 1Z0-803 9L0-012 70-480 200-310 EX300 ICBB 1Z0-808 AWS-SYSOPS 1Z0-434 200-120 210-260 200-310 SY0-401 810-403 300-320 400-101 70-533 N10-006 MB2-707 210-060 400-201 100-101 9L0-012 642-999 300-115 MB2-707 400-201 SY0-401 70-462 EX200 100-101 1Z0-803 9L0-012 70-480 200-310 EX300 ICBB 1Z0-808 AWS-SYSOPS 1Z0-434 810-403 200-120 400-101 CISSP 300-320 350-018 300-101 210-260 300-208 MB2-707 400-201 SY0-401 70-462 EX200 100-101 1Z0-803