Keep It Simple Stupid (KISS)
Life can be complicated. Home buying is no different. Emotions run high, numbers run higher, it can seem intimidating. But if you can't explain it simply, you don't fully understand it. Lucky for you, I do. Let's break it down into 5 simple steps and let's talk like normal humans, shall we?
5 Steps to Buying a Home
1). Meet with a lender.
The only recommendation I can make is to talk to at least 3 lenders. Different lenders do different loans and have different rates. Therefore, the more applications you put in, the more options you’ll have. One lender may say NO, he can’t do it. Another may say YES. *each application runs credit, so you need to put applications in within 3 days in order to not get hit negatively each time your credit is run. If you do it during the same time frame, it’ll only count once. Ask them your number questions. See what you can afford. Then see what you want to pay monthly. Know your purchase price based on what the monthly payment will be. This is key. Also, ask what you can do to get the best rate. Do you need to work on credit, maybe file a tax adjustment because you need to show high income for last year or pay off an auto loan. Ask how to improve. And lastly but most importantly, get your pre-qualification letter BEFORE seeing a home. It saves everyone so much time and emotion, trust me. You do not want to find the home of your dreams and then not be able to do anything about it. This step takes time and a lot of paperwork. You can’t put in an offer without showing how you are going to pay ( See Step 4 ). I cannot work my magic until you have this step done. Set yourself up for success and do this as soon as you can, even a year out is not too early.
2). Meet with ME, your Realtor.
Let’s sit down and go over what you want. Let me gather as much information as possible so I can do the best job for you. I’m a matchmaker and I see numerous homes per week so when I see them I need to be able to match the homes with buyers. Please constantly update me if I’m on the right track or if you’d like to change something. Maybe you started off demanding a 2-car garage but aren’t getting the right results so now you’ll take a one car garage. Keep me informed. Have open communication with me so I can find you the right home.
3). Set a time to go view your top picks.
Once we find a few that you like online, let’s go see them. Set aside a time and give me at least 24 hours to set it up. Some homes are occupied and the owners can’t let us in last minute. Set aside time where you can give the home your full attention because it’s very important to pay attention and sit in the home for a few minutes.
4). Write an offer.
After the showings we will go over the pros and cons of the homes we saw. When the pros outweigh the cons and you feel like it would satisfy your top three needs, we need to write an offer. I will run the comparative homes sold, listed and pending in the area and determine an appropriate offer price. You don’t want to come in too low but of course we want to get you the best price. The comps will tell the facts and determine the numbers. I will DocuSign the offer we decide to offer to you for e-signature. Please work quickly because time is of the essence here. For this offer to be complete and ready to submit it needs to have these items:
-the offer -proof of funds, a bank statement showing the money -pre-qualification letter.
5). Seller will respond.
If seller accepts your offer we will enter escrow and begin the sales process. If the seller does not accept our offer we will either accept their counter offer or decide to counter it. Again, strategy and being fair will win this home for you.
I hope this helps simplify what gets you into escrow on a home. Communication is key. Good thing I have a Bachelor's Degree in it. wink wink*
Until Next Time...
May everything be made simple,