10 STEPS TO HOME OWNERSHIP 

Step 1: Find a REALTOR®, not just an agent.

The most important step is to find an experienced REALTOR® who will assist you through the entire home buying process from A to Z. REALTORS® are real estate agents with extensive training certified by the National Association of REALTORS®.  REALTORS® are a step above the norm and have access to all homes that are listed on the market. Only a percentage of agents are REALTORS®. REALTORS® are compensated by the company they work for, not you, so don’t be afraid to ask them to find you a home!

Step 2: Get Pre-Approved.

In order to know how much of a home you can afford, you must talk to a mortgage expert who will give you the current rates on different types of loan options. Certain loans will require small down payments and others will not. The rates will vary also. Therefore it is important to have a REALTOR® recommend a few different mortgage companies so you may shop rates. Once you are approved, you may actively search for homes. Sellers will not accept an offer without a solid Pre-Approval!

Step 3: Search for Available Homes.

Now that you know how much home you can afford it is time to decide on what you want in your home. Tell your REALTOR® what is most important first, whether it is age, location, or square footage and then work your way down a list of desirable options. REALTORS® have specific access to listing information not available to everyone else, so be as detailed as possible. Once your REALTOR® has compiled a list of homes for you, it is time to start shopping.

STEP 4: Visit and Tour Desirable Homes.

Your REALTOR® will check on the availability and set up appointments for you and him to go see the inside of the homes you’ve selected. Take notes on the condition as well as certain features they may or may not offer. Don’t be afraid to go back and visit the same home again. Sometimes a second visit will give you another opportunity to notice things you may have missed the first time.

STEP 5: Writing the Offer.

Once you have selected the house of your dreams, your REALTOR® will draw up the offer to purchase for you. He has access to the current and recently sold prices of comparable homes in the neighborhood and tax assessments. This will assist you in making your decision of what amount to offer and what concessions to ask for.

STEP 6: Contract Ratification.

Once your offer to purchase is ratified, or agreed upon by all parties, congratulations you have a contract. Now, your REALTOR® will proceed with your home inspection and bank appraisal.

STEP 7: Home Inspection and Repair Negotiations.

Your REALTOR® will assist you in selecting a home inspector to make a thorough inspection of your future new home. After the inspection you will receive a detailed report documenting the condition of the important functions of your home. If any areas of the home need repair or replacement, it will be reflected on the report. This report can be used by your REALTOR® to negotiate any repairs necessary or desired by you before you accept possession of your new home.

STEP 8: Bank Appraisal.

The mortgage company funding your loan will schedule a bank appraisal to make sure the home is valued at the selling price. This ensures the bank that their loan would be covered should they have to take possession if you default on your loan.

STEP 9: Settlement Attorney.

Soon after your inspection and appraisal is ordered, your REALTOR® will help you select your settlement attorney. The attorney will draft all of the closing documents for your settlement day and do a title search to make sure that you can assume a clean and clear title to your home.

STEP 10: Closing Day.

On the actual closing date usually 25-45 days after ratification, you and your REALTOR® will meet at your attorney’s office to settle on your new property. This is the day your loan will actually be funded to pay the sellers what you have agreed to in the contract. You will leave with the keys to your new home!

     Your REALTOR® will be there with you every step of the way.       Call us today! 757-215-5034.

     Brad Nichols, ABR, GRI, e-PRO, REALTOR®, Top Producer           Rose & Womble Realty