You will feel more confident about your home buying journey when you understand what is required of you and everyone else involved in the transaction.

1.      Have your finances in order

Be sure to know exactly what your credit reports say about your financial history. Your credit report plays an important role in the mortgage approval process and in determining the interest rate and other loan terms that a lender offers you.

2.      Familiarize yourself with the Mortgage industry

Finding the right loan and lender is crucial to your home buying success.  It’s up to you to determine which lender works best for your needs, and is a good idea to know a little about the loan process before you decide on a lender.

3.      Get Pre-Approved for a Mortgage

Find out how much house you can afford by speaking with a lender.  You will be a more aggressive buyer with a Pre-Approval for a mortgage.  Having a letter from the bank that states you are pre-approved for a mortgage will give you an advantage when making an offer against someone who does not have the supporting documents.

4.      Determine your WANTS and NEEDS

The process of buying a home will be a lot smoother if you are familiar with your real estate market and narrow down your wants and needs before you start looking at houses.

5.      Learn to work with Real Estate Agents

Real estate agents represent buyers, sellers, or both.  It is important to understand the roles of an agent and their loyalties before you make that first phone call.

6.      Start searching for a Home

You and your agent will work together to find your new HOME.  Your agent will give you multiple listing sheets to look over; in addition, you may also want to look through the local newspapers, magazines, and Internet to search for a home.  Another idea would be to drive through neighborhoods you might be interested in.

7.      Make an Offer

There are many real estate laws and customs that exist throughout the United States, so with the help from your agent you will be able to put together and offer that can be presented to the seller.

8.      Home Inspections and Other Tests

Depending on your state, home inspections are accomplished before the final purchase contract is signed or inspections take place after an offer is finalized.  No matter when inspections are conducted, it’s critical to decide which inspections and tests you want to perform.  Consult with your agent or other advisor to find out when inspections should be handled and if additional types of testing are important for your specific area.

9.      Avoiding and Correcting Last Minute Problems

As your closing date nears, everyone involved in the transaction should check its progress on a daily basis.  Staying on top of things will alert you immediately of any problem and enable you to rectify them sooner. 

10.  You’re on the Way to Closing!

As you approach closing, also called settlement, where the transfer of ownership of the property takes place, your agent will guide you through the required elements to complete your real estate transaction.