The Home Buying Process in Detail

 

  • The home buying experience can be pleasant and rewarding with the right guide. So, your first step is to line up your perfect partner in the process.  Your Coldwell Banker Devonshire Realty agent is experienced in all aspects of the industry and all circumstances surrounding the home buying scenario.  There is no out of pocket expense to you, your agent is paid on commission from the sale.  Your agent will advise you and provide you with all the facts and choices you need to make the decision that's best for you.

Learn more about the wealth of knowledge your Coldwell Banker Agent brings to the table by contacting us.

  • You will need to begin the qualification and mortgage pre-approval process with a trusted and reputable lender.  Your Coldwell Banker Devonshire Realty agent can provide you with a list of suitable companies, our preferred lender is Bank of America Home Loans.
    • Paperwork you will want to have handy during your preapproval meeting with your lender includes:
      • Your most recent W-2s from the past two years
      • Your 2 most recent pay stubs
      • Your Social Security card and driver's license, or state-issued ID
      • Your two most recent bank statements that have your name on them
  • Once you are pre-approved up to a certain and comfortable price point, it is now time to begin your home search. With higher-than-normal inventory levels at this moment, there is a wide selection of homes for you to choose from. Ask your Coldwell Banker Devonshire Realty agent to begin setting up "showings" for homes that match your needs and wants.
  • Once you have identified your desired home, it is now time to write an offer for that home. Your Coldwell Banker Devonshire Realty agent is cognizant of the needs of buyers, and will make every effort to minimize your out-of-pocket closing costs (money you have to spend to own the house).
  • Oftentimes, negotiations may go back and forth between you and the seller, called "counteroffers", until you both agree on sales price and terms of the contract.
  • At this time, you will also need to submit an earnest money check. This can sort of be considered to be a "down payment on your down payment", and shows the seller that you are truly serious about purchasing their home. Oftentimes, this can be between $500 and $2,000, depending on the sale price of the home, but is refunded back to you at the time of closing.
  • Once the offer is accepted, your Coldwell Banker Devonshire Realty agent will work with your mortgage lender to ensure additional required paperwork is submitted, such as a copy of the deposited earnest money check, and all paperwork from the signed contract.
  • Inspections are typically done now during the "Inspection Period", where you can have licensed and certified inspectors take a look at the home to ensure that no habitability issues exist in the home. Any costs to repair these habitability issues can oftentimes be negotiated between the buyer and seller as to who will pay for them.
  • An appraisal is ordered on the home. An appraisal is a formal valuation of the home where a state-certified individual helps the bank to ensure they do not loan you more than the home is worth. While this is in the lender's best interest, it is also in your best interest, to ensure you are purchasing for fair market value or below.
  • Once the appraisal has been completed and accepted by the lender, your loan will go through "underwriting", which is where the lender performs various actions from a checklist. This includes making sure all required documentation has been received, the appraisal is inline with the loan amount. In addition, final paperwork for you to sign is prepared at this time.
  • A "Closing Date" will be determined from the contract. Customs for this closing process vary by market, but at a high-level involve:
    • Receiving a "Settlement Statement", one to two days prior to your closing date, so you can review the charges and credits made in association with the closing of your new home.,
    • Signing the rest of your mortgage paperwork. This includes the actual mortgage itself where you promise you will make payments until the loan is paid off in the original terms, or through a refinance or sale of the home. It is very important that you read these in detail as you sign them. Ask your closing officer or attorney ANY questions that you may have - that is why they are there!
  • Depending on the details in the contract that you signed you may receive the keys to your new home at closing and take occupancy immediately, or there may be a later date that you and the seller have already agreed to.  Either way, it's all yours! 

Are you ready to begin the process? Let us help you make it easy. Either call us at (800) 261-7653, or click here to contact us online!