When you first meet with your agent, be prepared to discuss your goals, priorities, your must-haves and deal-breakers, and also your financial situation. Your agent will weigh these considerations against the current trends in your market then send you home listings that suit your criteria and budget. This is why you’d want a local buyer’s agent that is not only knowledgeable in market prices, but also knows the neighborhood well.
If you want to do some video-chat tours before physically visiting the property, your agent will use their experienced eye to point out features and flaws in the home so you will only be seeing homes that you really like. A real estate agent will also help you on your purchase offer, get involved in the final negotiations, and will be there with you during closing until you are handed the keys, so make sure you choose an agent you can trust and will have your best interest at heart.
Even before you start your house-hunt, getting a pre-qualification letter is highly recommended but getting a pre-approval makes you a strong buyer. A pre-qualification is an informal way to see how much you will be able to borrow, which is a great place to start when you are out with your real estate agent looking at homes. But if you are ready to buy now, the pre-approval is your biggest asset when getting into offers and negotiations. The pre-approval is the lender’s commitment to lend to you and is assessed by the lender looking at your creditworthiness, income and assets, and other relevant paperwork. This commitment is what will help secure your loan and get you into the underwriting process.
From then on, your lender or mortgage company will work with you and your agent to hire an appraiser, facilitate the escrow process, and finalize the closing costs associated with buying a home. Your lender will also handle things like property taxes and insurance payments until the mortgage is paid off, so it’s important to thoughtfully choose a reliable lender to work with.
After the initial offer has been accepted, you’ll want to hire a home inspector to thoroughly inspect the home’s condition, uncover any hidden issues that only a professional could, and estimate the cost of repairs. Issues related to structure, electrical, or plumbing will be easily spotted by their trained eyes. This way, you and your realtor can negotiate with the seller to cover the costs of repairs, lower the total purchase price, or simply walk away from the real estate transaction, especially if the home was found to have some serious structural damage.
Depending on the age and condition of the home, you may also consider hiring inspectors that will specifically check for mold, lead paint, and other toxic materials like radon and asbestos.
The appraiser will verify that the home you want is worth the money you’re going to pay for it before you get the loan, and ensure you’re getting a good deal on the house you want.
Your lawyer can help prepare and review documents, will resolve any disputes that arise during the transaction, especially if you’re purchasing a distressed property or inherited estate, and will be present at closing to represent your interests. Since real estate laws are a matter for state and local jurisdictions, having an attorney on your team can ease your mind when it comes to buying your biggest asset.
