What to Expect When Purchasing A Home
You've done your preliminary research, set a budget, gotten pre‐approved for a loan, chosen a realtor, and now you're ready to begin the home purchasing process in earnest.
What can you expect?
Here is a quick rundown of the most important steps in purchasing a home.
- Shopping. Your realtor will take you to view the homes you are interested in. As exciting as this initial phase can be, it is important to maintain a healthy sense of skepticism in order to find a home that truly meets your needs.
- Making an Offer. Once you find a home that you like, it is time to make an offer. Depending on how committed you are to that particular home, you may wish to over-offer (to increase your odds of getting the home) or under-offer (in hopes of getting the house at a lower price.)
- Appraisal/Inspection. In order to ensure that both you and the seller are getting a fair deal on the sale, two third parties will take a look at the home. First, an inspector will come to guarantee that the home is in good condition and that the seller is not hiding any major problems such as termites, a broken central heating system, etc. Secondly, an appraiser will come to estimate the actual value of the home.
- Selecting Your Loan. You've already been pre-approved ‐ but now it's time to finalize the details of your mortgage and choose the concrete amount that you will be paying each month. Once all the details are hammered out, you will sign the contract -- putting yourself that much closer to finally owning a home.
- Paperwork. Transferring ownership of a house is not the same as transferring ownership of a bike or a guitar -- major purchases mean contracts must be signed, regulations must be complied with, and deeds must be transferred. Expect to spend some time and money getting through all the paperwork involved in the final steps of purchasing a home.
- Closing. At this point, all that's left is finalizing the deal. Although this isn't always as easy as it sounds, the odds are good that you've made it through the heart of the process and will soon be a homeowner!
Want to learn more about homeownership and other important financial topics? Visit Madison Monroe and Associates online today!