Purchasing a home is an intimidating event for many people, but with a little planning ahead of time, it's not all that complicated. So you know exactly what to expect, I like to furnish my buyers with an overview of the entire deal. Here are my nine steps to buying a home.
Step 1 – Get ready to purchase a home
There are several things you'll want to contemplate before beginning your home search. When you start your search, you'll probably want to form a list of features you need, get a feel for what school districts you'd like to live in, and start planning around your budget. Ensuring your mortgage payment is less than or close to 30 percent of your net monthly income is a good rule to follow.
Step 2 – Talk to a real estate agent
That's where I come in. I'd be happy to arrange a time to get together with you and communicate with you regarding why you want to buy a home and get an idea of your future plans. We'll discuss everything from neighborhoods, school districts in the Miami area, the mortgage industry, to any other economic factors that might affect your purchase today or in the future.
I'll also help you begin the loan process. There are some great mortgage professionals in Miami, and I partner with a lot of them, so you'll be in great hands. They will help you choose which type of loan is best for you, as well as help you get qualified.
Step 3 – Start looking for a home
After we meet, I'll begin searching for houses on the market that are good for you. I'll research most of the houses and reject the bad ones, and then we'll book appointments to view the homes at a time that's convenient for you.
As we tour the homes, I'll show you the positive features, as well as bad ones. I'll even ask you what things you like and dislike. Generally, buyers update their wish list as we view houses and some things become far more essential than others. If such is the case, I'll search all the listings one more time and trim it down to the house of your dreams.
Step 4 – Understand the housing market
An agent's knowledge of the Miami housing market is a necessary agent in your house search. And I can assure you I'm mindful of all the neighborhoods and school districts, and I will let you know which areas are "hot" and demand prompt action and some that are "cold" and allow for cautiousness.
As we view homes, I'll be sure to tell you if the asking price has room for negotiation or if I believe the home is "priced to sell." Any real estate agent in Miami will convince you they comprehend the housing market, but be careful, and make sure you ask a lot of questions. If it doesn't seem like they know everything, call me at 305-238-2252 or e-mail me at allestaterealty@msn.com, and I'd be glad to answer your questions. My understanding of the market will keep you a step ahead through the entire process.
Step 5 – Find the home of your dreams
I'm sure we'll find your dream home in Miami. When that happens, I'll thoroughly create your purchase offer. The offer will be tailored keeping your needs in mind, including some contingencies, such as obtaining financing, finishing the home inspection, and a clear title.
Upon turning in your offer, you'll need to submit "earnest money." This is a cash deposit submitted to the seller to secure an offer to buy the property and is often put towards the closing costs. If your offer is accepted, we should close within 30 to 60 days after. This allows necessary time for your mortgage financing.
Step 6 – Negotiate the deal
Unfortunately most contracts aren't closed on the beginning offer, and it's very common to receive a counter offer. But don't let it alarm you. We'll consider whether or not to agree to the counter offer, present our own counter offer, or decline the seller's offer and go on.
The state of the market determines how aggressively we negotiate the deal. In addition, we'll work within your budget. And when it's all said and done, we'll create a contract that works well for you.
Step 7 – Secure financing
Upon completion of the contract, you'll start working with your lender to close the loan. If you've been pre-qualified, it shouldn't be a long process at all. However, you need to keep 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
You'll get a Good Faith Estimate (GFE) detailing your closing costs from your mortgage lender within three days of getting your loan application. The estimate is based on the loan amount. RESPA requirements mandate that it has to include all closing costs and be within a tight range of accuracy, and I'll examine the estimate and let you know if everything looks good.
Then it's time to close on your house. This should occur at a title company or escrow office and will likely be a smooth and easygoing occasion.
Step 9 – Move in
You made it! It's time to move into your new home. Enjoy it. And if you need anything or have any questions, make sure you contact me at 305-238-2252 or send me an e-mail.
