Remember the weeks or even months you spent on house hunting, viewing houses, and considering homes you would like to buy, now that the day has come that the offer you made on a house has been accepted, you will feel delighted for sure! All that hard work finding the right home and getting your offer accepted feels great! Although it feels like that hard work seemed over, you are still in the early stages of the buying process.
Mortgage application
Once both sides have signed a purchase contract, it is time to begin the process to secure your mortgage. Unless you are paying cash, you need to apply for a loan.
This is a great read if you want to know more about the mortgage process. Be sure to carefully fill in the application as accurately as possible. It is important to disclose everything about your finances to avoid any delay in the mortgage process or cause for not getting a loan approval.
Home inspection
Home inspections are not always required but it will be for your own good to get the home inspected for any defects or repairs. If the inspector finds problem on the home, you may be able to get the seller to pay for repairs or lower the price. Make sure you complete your inspections in a timely manner and resolved any issues within the time allowed in your purchase contract.
Home appraisal
Home appraisal is a requirement by your lender. It is your responsibility to get the home appraised. You usually pay for it as part of the mortgage costs at the time of closing.
A licensed appraiser comes to the property and inspects it to determine the fair market value of the home. The value of the home will determine how much the lender is willing to lend you to buy the property. Also, home appraisal will determine if the asking price is lower or higher than the actual value of the property.
Title insurance
This one is handled by the title company. Your escrow or closing agent will launch the process of getting you title insurance soon after your purchase agreement is signed. Usually your closing agent or attorney will choose your title insurer for you. The title company’s first task is to investigate the property’s history of ownership, or chain of title, and identify encumbrances on the title.
Homeowners insurance
Your lender will also require you to have a homeowner’s insurance policy. You’ll want to shop around and find the best rate. Here are some great tips when buying homeowners insurance. Your lender will need proof of insurance before approving your mortgage.
Turn on utilities
It is a good idea to call the local utilities companies and arrange to get the utilities switched into your name a week before the closing. This includes (if applicable) gas, electric, telephone, cable television, and internet service.
Final Walk-through
The final walk-through is typically scheduled within the week leading up to the closing date. This is not the time to bring new issues but to ensure that any repairs have been completed as per your contract and that the home is ready to move into. Take your time and do a thorough inspection.
Closing
This is the last step in buying and financing a home. It is the day when you and all other parties in a mortgage transaction sign the mortgage documents and officially gain ownership of the home. On the day of the closing, you will need to bring your ID and cashier’s check to pay closing costs. You can check with your buyers’s agent about the details of your closing. When all is said and signed, you will be handed the keys to your new house.
Make sure that you stay on top of each process to avoid potential issues. If you are working with an agent, he or she will be able to keep track of the transaction and communicate with your lender or title company to make sure everything is moving along in a timely manner. Buying a home is a complex process that requires hard work on your part but the end result is beyond worth it especially if you’re finally moving to your new home.
READ MORE:
HOME BUYING FEES EVERY HOME BUYER SHOULD KNOW
Looking to buy? Are you a first time home buyer? We can help! The J Michael Manley Team go above and beyond to help you find the perfect home, from searching the right property that meets your real estate needs until you finally sign the deal. We will walk you through the process and make sure that you get the best deal possible. Are you ready to find the right home?
Contact us or Call us at 864-881-1258
