Buying a home is stressful for many people, but it's not that complicated with some up-front planning.
I like to supply buyers with a road map of the whole deal so they'll know exactly what to expect.
Below are my nine steps to purchasing a home.
Step 1 – Get ready to buy
Before you start looking for a home, there are many things you should do.
When you begin your search, you'll want to form a checklist of items you need, get a plan of what neighborhoods and school districts you'd like to live in, and begin planning around your budget.
Keeping your mortgage payment less than a third of your net monthly income is a good rule to follow.
Step 2 – Get with a real estate agent in Austin
This is where I come in.
I'd be happy to schedule a time to meet with you and speak with you regarding your real estate needs and get an idea of your plans for the future.
We'll talk about the mortgage and housing industries, other economic factors that may potentially affect your buying decision today or in the future, as well as neighborhoods and school districts in the Austin area.
I can also help you get started on your loan.
I work with some of Austin's best mortgage professionals, so you're in great hands.
They can help you figure out which kind of loan is best for you, as well as help you get qualified.
Step 3 – Start your home search
After our initial meeting, I'll start searching for houses on the market that meet your needs.
I'll preview most of the homes and reject the duds, and then we'll book appointments to view the houses whenever it's most convenient for you.
When we tour the homes, I'll show you the good features, as well as negative ones. I'll even ask you to point out what things you like and dislike.
Generally, buyers amend their list of must-haves as we view homes and some features become far more important than others.
If such is the case, I'll look through all the listings another time and trim it down to the home of your dreams.
Step 4 – Know the housing market
My awareness of the Austin housing market is an indispensable asset in your home search. I'm mindful of all the neighborhoods and school districts, and I'll communicate certain areas are "hot" and warrant immediate action and others that are "cold" and allow for thoughtful examination.
As we tour houses, I'll let you know when the asking price has room for bargaining and when I know the house is "priced to sell."
Be on guard and be sure to ask your agent lots of questions, as every REALTOR® in Austin will tell you they understand the housing market.
If it seems like they don't know everything, call me at (512) 829-2062 or e-mail me at stevem@mallettintegrityteam.com, and I'll be glad to answer any questions you have. My knowledge of the market will keep you a step ahead throughout the entire deal.
Step 5 – Find the house of your dreams
I'm certain we'll find your dream house in the Austin area. When we do, I'll meticulously develop your purchase offer. The offer will be tailored exactly to your needs, including many contingencies. A few examples are obtaining financing, finishing the home inspection, and a clean title.
When presenting your offer, you'll likely want to submit "earnest money." This is a cash deposit given to the home seller to secure an offer to buy the property, and it's usually applied to the cost of closing. If the offer is accepted by the seller, we should close about 30 to 60 days after. This allows sufficient time for your mortgage financing.
Step 6 – Negotiate
Unfortunately most deals aren't closed on the initial offer, and it's really common to receive a counter offer. Don't let it alarm you. We'll talk about whether or not to agree to the counter offer, present our own counter offer, or reject the seller's offer and go on.
Market circumstances will play a vital role in how aggressively we negotiate the deal.
We'll also work within your budget. And at the end of the day, we'll create a contract that is best for you.
Step 7 – Get your loan
After we sign the final deal, you'll begin working with your lender to close the loan.
If you're already pre-qualified, it shouldn't take long at all, but you need to stay in close contact with your lender.
And I'll look after all the property information your lender needs to close the loan.
Step 8 – Close the deal
Your mortgage lender will send you a Good Faith Estimate (GFE) of closing costs within three days of getting your loan application. You'll get a Good Faith Estimate (GFE) of your closing costs from your lender within three days of getting your application.
The estimate depends on the loan amount. RESPA requirements order that it has to include all closing costs and be within a close range of accuracy, and I'll go over the estimate and let you know if it all looks okay.
Then we'll close on your house. This should take place at a title company or escrow office and will probably be a smooth and stress-free event.
Step 9 – Move in
Success! Now you can move into your new home. Enjoy it. And if you need anything, be sure to contact me at (512) 829-2062 or send me an e-mail.
