Buyer – Amal Pillai Realty

Buyer guide

A GUIDE FOR FIRST TIME BUYERS, STEPS BY STEPS

Buying a home is a significant life milestone. To prepare, it’s important to know what to expect. Our comprehensive guide for first-time buyers will help you enjoy the process and reduce the stress of purchasing a property.

STEP 1: RESEARCH

Do you know where you want to buy? Have you decided between a condo, townhome, or single-family home? What features do you like or dislike? What’s available on the market? If you’re unsure about any of these, start researching now. Look at homes that interest you and note changes in asking prices. This can give you valuable insights into housing trends in specific neighborhoods and help when making an offer.

STEP 2: SET YOUR BUDGET

Note that we advised you to set your budget instead of relying on what the mortgage company might offer. Often, mortgage companies pre-approve you for more than you’re comfortable paying. Before talking to a lender, determine what monthly payment you can afford. This means creating a detailed household budget and considering any new expenses that might come with your new home, such as water, garbage, or HOA dues, which you might not have encountered before if you lived in an apartment or with roommates.

STEP 3: GET PREQUALIFIED

The mortgage company may not agree to a monthly amount just because you think you can afford it. They might approve you for a mortgage that is too big, too small, or even turn you down completely. A short work history, poor credit, past bankruptcy, or other financial issues can be problematic when applying for a mortgage. Before choosing a property, find out what amount you can qualify for from a mortgage professional. Being prequalified will also make your offer more attractive to sellers.

STEP 4: SELECT A REAL ESTATE BROKER

Can you look at, search for, and eventually make an offer on a house without the assistance of a real estate broker? Yes, in theory, but why would you when brokers like us can relieve a lot of your burden at no expense to you? We will not only set up showings, assist you in finding houses you might be interested in, and eventually handle the offer process; we also have market expertise that you do not. It can be difficult to choose the ideal house; this is where our experience and depth of knowledge are useful. To help you select the ideal house, allow us to take you around a few that fit your ideal requirements.

STEP 5: DISCOVER YOUR IDEAL HOME

Apart from moving in, this should be the most enjoyable part of the process. We’ll arrange viewings of properties that match your budget and interests. Pay attention to details and note what you like and dislike. Test light switches, doors, and faucets in different rooms. Also, explore the neighborhood, noting traffic, parking, and the proximity of grocery stores and schools.

STEP 6: SUBMIT YOUR OFFER

Once you’ve found the ideal house with your broker, create a reasonable offer based on current market prices of similar properties. Your offer can be below, at, or above the asking price, depending on market conditions. If a counteroffer is made and accepted, we’ll help with the negotiations, and the house will enter escrow.

STEP 7: ARRANGE FOR A HOME INSPECTION

Usually, your offer will depend on an inspection to check for major structural damage or costly repairs. You can schedule this with our help a few days after submitting your offer. If there are no significant issues, the process moves to step eight. If there are problems, you can either withdraw your offer or renegotiate based on the findings.

STEP 8: CHOOSE YOUR LOAN OPTION

It’s time to choose your mortgage and return to the lender who pre-qualified or pre-approved you. Depending on your financial situation, you’ll be offered options like fixed-rate, variable-rate, 15-year, 30-year, or special programs like VA or FHA loans. Consult with your mortgage provider to select the best option for you.

STEP 9: SCHEDULE A HOME APPRAISAL

Your lender will arrange an appraisal to determine the value of your new house and ensure a fair price for everyone.

STEP 10: COMPLETE ALL NECESSARY PAPERWORK

Although necessary, dealing with the paperwork involved in purchasing a property is not enjoyable for anyone. Fortunately, your lender and title company will manage everything, ensuring that once completed, you’ll be the official owner of your new house.

CONGRATULATIONS!

After finalizing the purchase with your signature, you’ve become the proud owner of a new home. Once the paperwork is back with the lender, it might take a few days for your loan approval. But once the seller gets the check, you’re all set to move into your dream house.