I'm often asked about how to buy a house; believe it or not in this vast information age, people still don't know how!
It is not driving around looking at homes. It is not calling each agent's sign and asking how much, how long has it been on the market, and how many bedrooms. Buying a house is an investment in a process that must be followed for a win/win result!
You will see by this list that it is a step by step process that will get you across the threshold of your new home!
1. Pre-approval– Get Pre-approved for a mortgage and know in advance exactly how much house you can afford.
Completing this step will also increase your negotiating power since you'll be viewed as a “cash buyer”.
2. Documentation– Paperwork supporting the application must also be submitted. Information commonly sought includes pay stubs, two years tax returns, and account statements verifying the source of the down payment, funds to close and reserves.
3. Choosing and Agent– Your agent represents YOU! You will never have to call a phone number on a sign again. Your licensed realtor will have access to all properties listed in MLS and will bring you the information! As the buyer, you do not have to pay for anything upfront. The sellers pay at the time of closing.
4. The Hunt– Begin shopping for a house. Once you find the right one, an offer will be submitted.
5. Negotiations– Once your offer has been submitted, negotiating may be needed to reach an agreement between you and the seller. Keep in mind that almost everything is negotiable when purchasing a home. Your licensed agent will provide you with all the necessary information to execute the contract in your best interest. Once an agreement is reached with the seller, we will begin executing the terms of the contract.
6. Contract Accepted– Congratulations! We are now under contract to buy your new home! We will begin by scheduling the proper inspections and preparing your file with the title officer. Your lender will continue to execute your loan approval ensuring we meet the criteria to close on time.
7. Inspections– Upon acceptance of the contract your new home will need a thorough examination. Inspections will be conducted to ensure that the property is up to the standards set forth in your written agreement. If there are issues or inconsistencies that are brought forth at this time, repairs will be negotiated and scheduled for completion prior to closing.
8. Processor’s Review– The loan file with all documentation will be given to the loan processor. All pertinent information will be packaged by your processor and sent to the lending underwriter, including any explanations that may be needed, such as reasons for derogatory credit.
9. Appraisal– Lenders require an appraisal on all home sales. By knowing the true value of the home, the buyer is protected from overpaying.
10. Underwriters Review– Based on the information put together by the loan professional, the underwriter makes the final decision regarding whether a loan is approved.
11. Signing– During this step, final loan and escrow documents are signed.
12. Funding– At this point, the lender will send a wire for the amount of the loan to the title company.
13. Closing– Documents transferring title will now by officially recorded by the County Recorder.
14. Congratulations,you are now a homeowner!!
Mariah Trujillo
NMLS#233353
Mortgage Consultant
Office: (505) 275-5300
Email: mtrujillo@legacymortgagenm.com APPLY ONLINE AT www.legacymortgagenm.com/mtrujillo
8200 Carmel Ave NE Albuquerque, NM 87122
Once you have completed the pre-approval process, contact me today for a buying plan that you will truly enjoy.
Linda DeVlieg, Associate Broker
HOME SEARCH - All the listings, all the time!
505-440-7200
COLDWELL BANKER LEGACY
10400 Academy NE Suite 100
Albuquerque, NM 87111
Linda@RealEstateInABQ.com
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