Buying a home is an intimidating event for a lot of people, but it isn't that confusing with some planning ahead of time.
So you'll know exactly what to expect, I like to provide my buyers with an overview of the entire deal.
Here are my nine steps to buying a home.
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When you're ready to get started, just contact me here or send e-mail to mike@michaelskerrett.com. I'm happy to address any questions you have regarding this information.
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Step 1 – Prepare to purchase
There are several things you need to do before commencing your home search.
You'll want to form an index of items you want to have, get a feel for what school districts you want to live in, and begin planning your budget.
A good principle to follow is that your mortgage payment should be less than or around 1/3 of your net monthly income.
Step 2 – Contact a real estate agent
This is where I come in.
I'd like to book a time to get together with you and communicate with you about your real estate needs and get an idea of your future plans.
We'll discuss everything from neighborhoods, school districts in the Downers Grove area, the mortgage industry, to any other economic factors that could potentially affect your buying decision today or in the future.
I'll also help you get started on your loan.
Milestone Realtors works with some of the best mortgage professionals in Downers Grove, so you can rest assured that you're in great hands.
They'll assist you in deciding which type of loan is best for you and help you get qualified.
Step 3 – Start house hunting
After our initial meeting, I'll start finding houses on the market that are a good fit for you.
I'll preview most of the houses and eliminate the bad ones, and then we'll schedule appointments to view the homes at a time that's convenient for you.
As we view the houses, I'll identify good features, as well as bad ones. And I'll ask you to point out what things you like and don't like.
It's pretty common for buyers to change their wish list as we view houses and some items become more crucial than others.
If that's the case, I'll look through all the listings one more time and trim it down to the house of your dreams.
Step 4 – Get a feel for the housing market
Your agent's understanding of the Downers Grove housing market is an essential aspect in your house search. And I assure you I'm familiar with all the schools and neighborhoods, and I will alert you to what districts are "hot" and call for prompt action and others that are "cold" and allow for thoughtful examination.
When we view homes, I'll make sure to communicate when the asking price has room for negotiation and when I believe the house is "priced to sell."
Trust your instincts and make sure you ask plenty of questions, as any real estate agent in Downers Grove will convince you they comprehend the housing market.
If it seems like they don't know everything, contact me at 630-310-9587 or e-mail me at mike@michaelskerrett.com, and I'll be happy to answer any questions you have. My market expertise will keep you a step above the rest throughout the entire deal.
Step 5 – Find the home you've been waiting for
I know we'll find the home of your dreams in the Downers Grove area. When that happens, I'll meticulously create your purchase offer. The offer will be tailored exactly to your needs, including a lot of contingencies. A few examples are obtaining financing, completing the home inspection, and a clean title.
Upon submitting your offer, you'll need to submit "earnest money." This is a cash deposit submitted to the home seller to secure the offer to buy the property, and it's usually put towards the cost of closing. If your offer is accepted by the seller, we should close on the property about 30 to 60 days afterward. This allows necessary time for your mortgage financing.
Step 6 – Negotiate the deal
A lot of contracts aren't closed on the first offer, and it's extremely common to receive a counter offer. But don't let it alarm you. We'll discuss whether or not to consent to the counter offer, present our own counter offer, or decline the seller's offer and go on.
Market circumstances will play a part in how aggressively we negotiate the contract.
In addition, we'll work within your financing constraints. And at the end of the day, we'll formulate a deal that works well for you.
Step 7 – Get financing
After we sign the final contract, you'll start working with your lender to close the loan.
This shouldn't take very long at all if you're already pre-qualified, but you'll need to stay in close contact with your mortgage lender.
And I'll take care of all the property information your mortgage lender will need to close the loan.
Step 8 – Close the deal
Your mortgage lender will furnish you with a Good Faith Estimate (GFE) outlining your closing costs within three days of taking your application. You'll get a Good Faith Estimate (GFE) outlining closing costs from your mortgage lender within three days of accepting your loan application.
The estimate depends on the loan amount. RESPA requirements require that it has to include all closing costs and fall within a narrow range of accuracy, and I'll review the estimate and let you know if it all looks good.
Then we'll close on your home. This will most often take place at a title company or escrow office and is often a smooth and relaxing event.
Step 9 – Move in
Success! It's time to move into your new house. Enjoy it. And if you need anything or have any questions, just contact me at 630-310-9587 or send me an e-mail.
