9 Steps to Owning a Home
With a little planning ahead of time, purchasing a home isn't too complex, but the event is stressful for a lot of people. We like to provide buyers with a road map of the whole deal, so they understand exactly what to expect. Below are my nine steps to purchasing a home. When you're ready to get started, you can contact us here or send me e-mail. I'm happy to address any questions you have regarding this information.
Step 1 – Prepare to purchase
Before you begin looking for a home, there are plenty of things you'll want to consider. It's likely that you'll want to put together an index of features you want to have, get an idea of what school districts and neighborhoods you'd like to live in, and start planning around your budget. Ensuring your mortgage payment is less than or around 1/3 of your net monthly income is a good guideline to adhere to.
Step 2 – Speak with a real estate agent
This is where Ferrell Realty, Inc. comes in. We'd be happy to book a time to get together with you and speak with you regarding your real estate needs and get an idea of your future plans. We'll discuss the mortgage industry, other economic factors that could affect your buying decision today or in the future, as well as neighborhoods and school districts in the Winter Park-Orlando area. We'll also assist you in getting started on your loan. There are some very good local mortgage professionals, and we partner with several of them, so you'll be in great hands. They'll assist you with deciding which type of loan is best for you and help you get qualified.
Step 3 – Start looking
After our initial meeting, we'll start searching for resale or new construction homes on the market that best suit you. We'll research and evaluate many of the homes and schedule appointments to tour them whenever it's most convenient for you. When we tour the houses, we'll identify positive features and negative ones. We'll also ask you to talk about things you like and dislike. Oftentimes, buyers change their wish list as we view houses and some features become far more crucial than others. If that's the case, we'll search the listings again and narrow it down to the house you've been dreaming about.
Step 4 – Understand the market
Your agent's knowledge of the Central Florida home market is an imperative element in your home search. We can assure you we're conscious of the local neighborhoods and school districts, and can communicate certain areas that are "hot" and demand immediate action and the others that are "cool" and allow for cautiousness. When we view homes, we'll make sure to communicate when the list price has room for bargaining and also when we believe the house is "priced to sell." When working with an agent, be on guard and be sure to ask plenty of questions. Any real estate agent will tell you they comprehend the home market. If it seems like they don't know everything, call us at 407-628-3200 or e-mail Frank at email@example.com, and we'll be happy to answer any questions you may have. Our understanding of the market will keep you a step ahead throughout the entire process.
Step 5 – Find the home you've been waiting for
We're confident we'll find your dream home in the Winter Park FL and Orlando FL area. When we do, we'll precisely create your home purchase offer. The offer will be tailored keeping your needs in mind, including a lot of contingencies. A few examples are obtaining financing, completing the home inspection, and a clean title. When sending in your purchase offer, you'll want to submit "earnest money." This is a cash deposit given to the home seller to secure the offer to purchase the property and is most often applied to the closing costs. If your offer is accepted, we should close about 30 to 60 days after. This allows ample time for your mortgage financing.
Step 6 – Negotiate
A lot of contracts aren't closed on the first offer, and it's extremely common to receive a counteroffer. Don't let this intimidate you. We'll talk about whether or not to consent to the counteroffer, present our own counteroffer, or decline the seller's offer and move on. Market conditions will play a big part in how aggressively we negotiate the contract. In addition, we'll work within your financing limits. And at the end of the day, we'll assemble a deal that's best for you.
Step 7 – Obtain a loan
Once we sign the final contract, you'll start working with your mortgage lender to close the loan. It shouldn't take very long at all if you're pre-qualified, but you'll want to keep in close contact with your mortgage lender. And we'll manage all the property information your mortgage lender will need to close the loan.
Step 8 – Close the deal
You'll receive a Good Faith Estimate (GFE) or Closing Disclosure (CD) outlining your closing costs from your mortgage lender within three days of receiving your application. This estimate rests on the loan amount. RESPA requirements order that it has to contain all closing costs and fall within a precise range of accuracy, and we'll review the estimate and let you know if it all looks permissible. Then we'll close on your home. This will likely take place at a title company or escrow office and should be a smooth and calm occasion.
Step 9 – Move in!
Success! Now you can move into your new house. Enjoy it. And if you need anything or have any questions, be sure to call us at 407-628-3200 or send me an e-mail.