Buying a house requires time, energy and patience. However, preparation and education can make the path to homeownership a lot easier to navigate. Follow our eight steps to make your journey almost as easy as a walk in the park!
1. Get Pre-Approved:
Getting pre-approved is a crucial first step in the homebuying process. It shows your seller that you are serious about purchasing their home, and gives you a distinct advantage in this competitive market.
- Choose an experienced mortgage lender
- Provide paperwork documenting your income, assets, employment history, etc.
- Lender determines how much house you can afford and best financing options
2. Go House Shopping:
This is everyone's favorite step. Make sure to find one that fits your budget and compliments your unique personality.
- Contact a trusted real estate agent
- Choose a house
- Make an offer; agent oversees negotiations
3. Document Collection:
It's not the most exciting step, but it's certainly necessary. Your loan officer will tell you which documents you need in order for them to be able to get you the loan for your future home.
- Sign initial application with lender
4. Submit Loan Application:
After your loan officer has all of the documents they need, you will be able to fill out an official application, which will solidify the amount you can borrow to buy your home.
- Appraisal is ordered
- Title report is ordered
- Get quote for Homeowner’s insurance
- Your loan package sent to Underwriting Dept.
5. Conditional Approval:
To make sure that all of the i's are dotted and the t's are crossed, your loan officer may need some additional documentation.
- Additional documentation may be required
- Approval within 48 hours of complete loan package submission
- Closing date/time scheduled
6. Clear to Close:
In our industry, these are our three favorite words. Once you are clear to close, you are just days away from signing one of the most important documents in your life - the deed to your new home!
- Underwriting Dept. performs final review
- Approval is given to close the loan
- Closing Department works on closing package
- Final Settlement Statement available for your review
7. Closing Day:
Today is the day! All of the hard work that you, your loan officer and your real estate agent have done has paid off, and you are just a few signatures away from officially owning your dream home.
- You and seller sign closing paperwork with title company agent
- Title company records final Deed of Trust
Who doesn't love this step? It's the end of a journey that started with a dream. What's not to celebrate?
- Break out the bubbly! You’re a homeowner!