Congratulations! You’ve made the decision to buy a new home.
Many people harbor secret fears about buying a home, and some of those fears are justified. To help you work through the process and settle some of those fears Sterling Real Estate is here to help.
Below are some steps to outline the home buying process. This process can take several weeks or months, but in the end it is worth it. Sterling Real Estate would be glad to assit you with this process.
- Start saving for a down payment: Depending on what type of loan you can go with the down payment can be anywhere from 3.5% to 20% of the purchase price (unless a VA loan is being used). Depending on what the market has available there might be some programs to help you get the 3.5% to 20%.
- Find a Realtor: Having a good Realtor can help by giving you information based on experience and market knowledge. A local Realtor can provide you with expertise and knowledge of the market that will be necessary and helpful to you when purchasing a home. They will also be able to assist you with the contractual and other challenges that might arise.
- Check your credit: There are several sites that can allow you to access your credit report for free. Please check online for these references or with your Realtor or local bank/mortgage company. Once you receive the report, look over all accounts and make sure there are not any errors. If there are any errors you have the right to dispute them.
- Find the Right Lender: Shop around for the right lender. A good resource for this is to ask your Realtor, friends and family what lenders, mortgage companies and banks have proven to be good. While looking around you will also want to see what types of loans are available and the interest rate they have (your Realtor can help you come up with questions). During this step, you will also find out how much of a home loan you can get and start the pre-approval process.
- Deciding on a Home: Here is the most exciting part. This is when you go out and shop for homes, one of which will become your home. Make a list of items that you really must have and then a separate list of items that would be great but not necessary.
- Make an offer: You have found a home that fits all your needs and some of your wants. The asking price is just a starting point. Your Realtor can help you make an offer that you are comfortable with and that you can afford. In Oklahoma there is a standard contract that will need to be filled out by the Realtor. Please make sure you read and understand the contract. Ask as many questions as you wish.
- Inspections and Appraisal: You can see what the surface flaws are, but what lies beneath the surface is what counts. This is why you have a home inspector come in. As part of the mortgage proces an appraisal of the property value will be conducted.
- Property Closing: During the offer stage a closing date is agreed upon and this is the day when you sign on the dotted line. On this day your loan process, inspection, a final walk through (making sure repairs are done), and contingencies are complete. You will want to bring a certified check payable to the title company in the amount requested (down payment, pre-paids, closing cost, lender cost, etc).
- Move in: Now that you have done all the hard work you can enjoy and move into your home.
Keep in mind that the home buying process varies from one buyer to the next. There might be additional steps that are not listed above.