Home Buying Process 

Check and protect your credit score

Review your credit score and any factors bringing it down as your score determines the terms of the loan you will qualify for.  Avoid any hard credit inquiries as they will count against your score.

Determine how much you can afford for a down payment

Take stock of your savings, any stocks, etc. that you will use to make the down payment.  Remember, banks will need to see that you have enough funds available for the down payment AND 6 months worth of living expenses to qualify you for the loan.

Buckle in with your Job

Banks want to see stability so they will be very hesitant to loan to you if you are unemployed or even recently started a new job - if you want to purchase a home, you'll need to commit to working at your current job until at least after the deal closes.

Hire an Agent​

A good agent will help you find the perfect home for you and will guide you through the entire process to ensure a smooth transaction!  You usually don't have to pay a buyer's agent yourself because the seller usually pays their commission for you.  Once you have found an agent you are comfortable with, sign an exclusive buyer's agent agreement with them.

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If you are ready to hire an agent, give us a call and we can represent you!  We can help you buy the perfect home for your unique situation.

Find a Lender​

Before your agent can start finding homes for you, you'll need to know what your price range is.  Meet with a couple mortgage lenders in the area to get an idea of your options, and find one you're comfortable with. 

 

Submit an application

Once you've selected your lender, you'll submit an application with them, and they will provide you with a Loan Estimate, generally within 3 days.  

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For an idea of what you might qualify for, check our Financing Options and Qualifications page

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Get a Pre-Approval Letter

Once the bank has reviewed your application, they'll determine how much they are willing to lend to you, and under what conditions.  They'll outline this in a pre-approval letter that you should get and provide to your agent.  The agent can include this when submitting offers on your behalf so the seller knows you can close the deal and gives your offer more credibility!

Find Properties to See

Your agent will work with you to identify key criteria for the property you want to purchase.  They can then set up online alerts to send you any new listings added to the MLS that meet those criteria, highlight those they think are the best, and may even know of off-market deals for you to consider as well.

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Visit Properties in Person

Once you've found a property you're interested in, you'll go visit it in person to see if it's the right fit for you!  You can set up private showings through your agent, or attend an open house if the selling agent is holding it open on a given weekend or weeknight.  

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Make an Offer

Once you've found a home you like, your agent will write up a contract proposal to purchase the house, and send this with your lender's pre-approval letter to the Seller's agent.  The Seller's agent generally has 1-2 days to review the offer with the seller and get back to you with an answer - either an Acceptance, a Counteroffer, or a Rejection.  Have your earnest money available in case the offer is accepted! 

 

Note: You can only have 1 outstanding offer on a property at 1 time, you cannot make multiple offers and see which get accepted!

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Submit Earnest Money Check

If your offer is accepted, you'll have up to 3 days to get a check for the earnest money to your agent, who will deliver it to the Seller's agent.  The Seller's agent will put the money in an escrow account for safe keeping.  The amount of money you'll need is variable, but is usually around 3% of the purchase price or a round number like $10K-$15K.  

Inspect the Property

Set up an inspection at the property, and if you can, attend the inspection!  The inspector will send you a report of what they found afterwards, but it's helpful to see it in person so you can ask clarifying questions as you go, and have context into how severe any damage noted in the report is.

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Your agent should have good inspectors to recommend for you, otherwise you can find one locally to do it for you.  

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Submit any Inspection Objections to the Seller

After reviewing the inspection report with your agent, you'll have some options:

• Accept the property condition and proceed with the purchase contract

• Submit an Inspection Objection - you can notify the seller of any issues found at the property and request that those issues be fixed, or the price be lowered accordingly

• Cancel the purchase agreement - if there are conditions that are too severe and cannot be fixed, you can cancel the deal and get your earnest money back.​

Get Homeowner's Insurance Quotes

The lender will request Homeowner's insurance quotes, as this will be included in your monthly mortgage payment.  Get quotes from a home insurance company and submit them to the lending agent.

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Submit Lender Paperwork

Your lender will request a LOT of documentation from you in order to complete the loan approval process.  You'll need to submit pay stubs, and proof of income, and proof of your assets - checking, savings, brokerage, and 401K accounts so they can verify that you can afford to make the down payment and mortgage payments.  

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Secure Closing Funds 

You'll need to make the funds you'll use for the down payment available so they can used in the form of a certified check or wire payment.  

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Get Property Appraisal

The lender will hire an appraiser to determine an objective value for the property, based on the property's condition and similar properties that have sold in the area.  This reassures the bank that the asset backing their loan is safe and will cover them in the event of a default.

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Final Walkthrough

You can request a final walkthrough of the property to verify the property is in the same condition as it was during your inspection.  If anything has changed, you can negotiate or cancel the deal, but you cannot cancel for anything already found during the inspection.

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Review Closing Documents

The lender will send you closing documents at least 3 days before closing.  This gives you time to review the terms of the purchase and loan in advance so there's time to correct any mistakes or issue clarifications.

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Sign Closing Paperwork

You can sign closing paperwork in person with the Seller and their agent preset, or it can be done separately.   Once you've completed all the signatures, that's it - the property is now yours!  

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Get your Keys!

Unless negotiated otherwise, they keys are usually given to you at closing.