Buying a Home: Start to finish

Though school teaches us about math and science, we’re not taught life skills such as the process of purchasing a home. With a housing shortage, being educated on the market puts you one step closer to home ownership.

Start with a great realtor. They should know the area, be experienced, and want to help you understand the process. Check out realtors who live in areas of town you'd like to purchase in.

Most realtors have a strong partnership with specific lenders. Your realtor can connect you and advise on downpayment strategies when talking to a lender. Many have heard that you need 20% to own a home. In fact, most 1st time buyers pay as little as 3% down or less. 

The lender will check your credit and finances and issue a pre-approval, a letter that says you are good to go ahead with your purchase, which is valid for 90 days.

Don’t fear going through the pre-approval process. It can help you uncover issues and give you time to remedy them. Addressing low credit scores or high credit card balances paves the way to the lowest interest rate.

Once approved, the realtor and buyer strategize the search and start seeing homes. Open the search a bit wider than your criteria; many are surprised with what they end up liking and purchasing.Going in person is key.

After finding the one, the realtor submits an offer. In this market, you’ll be competing with others. Your realtor will strategize how to win! They’ll explain potential levers–such as waving contingencies–you can pull to make your bid the most attractive to the seller.

After the contract is accepted, everyone works hard to get you to closing. The home is inspected and the bank appraises the property value.If either the inspection or appraisal present issues, your realtor may be able to help you get repairs or credit.

Lenders usually ask for a lot of documents - so be ready! You’ll need multiple forms of identification, employer documentation, detailed bank statements, and more. You may even be questioned about past purchases. The realtor will guide you through the process.

Finally, on the day of closing, you and your realtor will do a walkthrough of the home and sign paperwork. It’s an anti-climactic end to a long process. So bring some champagne to toast your success!