Being pre–qualified means a lender has decided you will likely be approved for a loan up to a certain amount, based on your current financial situation. As a first-time buyer, you have access to state programs, tax breaks, and federally backed loans. Many first-time homebuyer programs offer minimum down payments as low as 3% to 5% (vs. the standard 20%), and a few require no down payment at all.
Make sure to get Pre-Qualified for a loan before placing an offer on a home, In many instances, sellers will not even entertain an offer that’s not accompanied with a mortgage pre-approval. You do this by applying for a mortgage and completing the necessary paperwork.
Shop for Home
You may already have a general idea of where you want to buy a new home, but if not, you can start gathering information with a realtor of the area. Most new planned communities have a website that provides extensive information about existing and planned amenities, as well as area resources. Typically, you’ll find video of what the community looks like now and how it may look in the future. Some sites may include a virtual walking tour of the neighborhood.
Make an offer
Your real estate agent will help you decide how much money you want to offer for the house, along with any conditions you want to ask for. Your agent will then present the offer to the seller’s agent; the seller will either accept your offer or issue a counteroffer. You can then accept, or continue to go back and forth until you either reach a deal or decide to call it quits.
Property insurance that covers losses and damages to an individual’s residence, along with furnishings and other assets in the home. Homeowners insurance also provides liability coverage against accidents in the home or on the property. If you apply for a Mortgage loan, the lender required a property insurance.
Essentially, the final walkthrough allows home buyers to do one last check. This is to make sure that the home they’re purchasing is in the same condition it was when they agreed to buy it, plus any additional repairs stipulated in the purchase agreement.
Closing (also referred to as completion or settlement) is the final step in executing a real estate transaction. On the closing date, the ownership of the property is transferred to the buyer. In most jurisdictions, ownership is officially transferred when a deed from the seller is delivered to the buyer.
Moving Into Your New Home
From the very first time that you see your future home and throughout the negotiating process, you are most likely daydreaming about the day you can move into it. You may be counting the seconds until closing day, planning the ways you will decorate it and how your family will settle into your new home. Be aware though, not everyone is lucky enough to receive the keys to their new home immediately after the closing.