8 Steps to Becoming a Homeowner

Step 1: Make the Decision to Buy

Although there are many good reasons for you to buy a home, wealth building ranks among the top of the list. There are solid financial reasons to support your decision to buy a home (i.e. equity buildup, value appreciation, and tax benefits).

If you are paying rent, you very likely can afford to buy a home. There is never a wrong time to buy the right home.

All you need to do in the short run is find a good buy and make sure you have the financial ability to hold on to it as a long term investment.

Base your decision to buy on facts, not fears:

  • The lack of a substantial down payment doesn’t prevent you from making your first home purchase;
  • A less-than-perfect credit score won’t necessarily stop you from buying a home;
  • The best way to get closer to buying your ultimate dream home is to buy your first home now;
  • Buying a home doesn’t have to be complicated – the professionals at LAND REALTY GROUP are here to help you along the way.

Step 2: Hire Your Agent

It is the responsibility of your Realtor® to expertly coordinate all the professionals involved in your home purchase and to act as the advocate for you and your interests throughout to process.

Your LAND REALTY GROUP Realtor® will: Educate you about the current market; Analyze your wants and needs; Guide you to homes that fit your criteria; Coordinate work of other needed professionals; Negotiate on your behalf; Check and double-check paperwork and deadlines; Solve any problems that may arise.

Step 3: Secure Financing

While you may find the thought of home ownership thrilling, the thought of taking a mortgage may feel a bit terrifying.  Many first-time buyers are confused about the process or nervous about making such a large financial commitment.

Your LAND REALTY GROUP Realtor®will assist you with an easy to understand, six-step process (below) to secure financing for your home purchase:

  • Choose a loan officer (or mortgage specialist);
  • Make a loan application and get pre-approved;
  • Determine what you want to pay and select a loan option;
  • Submit to the lender an accepted purchase offer contract;
  • Get an appraisal and title commitment
  • Obtain funding at closing.

Step 4: Find Your Home

It’s true that hopping in the car to go look at houses is probably the most exciting part of the home-buying process. However, if weeks go by without finding what you’re looking for, the fun can fade pretty fast.

That’s why the LAND REALTY GROUP encourages you to carefully assess your values, wants, and needs, both short and long term before shopping for a home.  *(Use our Home Features & Amenities Questionnaire to access your needs and wants prior to home shopping).

Step 5: Make an Offer

When commencing the process of writing an offer for your dream home, you need to approach this process with a cool head and realistic perspective of your market.  The three basic components of an offer are price, terms, and contingencies.

Your LAND REALTY GROUP Realtor® will guide you through this process, offering what fairly reflects the right-price based on their research and understanding of the current market for the home you wish to purchase.

Step 6: Perform Due Diligence

Unlike other major purchases, once you buy a home, you can't return it if something breaks or doesn't work like is should.  This is why homeowner's insurance and property inspections are so important.

Homeowner's insurance protects you against loss or damage to your property itself and offers liability in case someone sustains an injury while on your property.

The property inspection should expose issues a home might have allowing you to know exactly what you are getting prior to signing your closing documents.

Don't sweat the small stuff...your major concern should be structural damage.

Step 7: Closing

The final stage of the home buying process is the lender's confirmation of the home's value and legal statue, and your continued credit-worthiness. This includes a survey, appraisal, title search, and final check of your credit and finances.  Your LAND REALTY GROUP Realtor® will keep you informed on how each is progressing.

At this point your work is pretty much done, you just have a few pre-closing responsibilities:

  • Stay in control of your finances;
  • Return all phone calls and paperwork promptly;
  • Communicate with your LAND REALTY GROUP Realtor® at least once a week;
  • Several days before closing, confirm with your agent that all your; documentation is in place and in order;
  • Obtain certified funds for closing;
  • Conduct a final walk-through of the purchase property.

ON CLOSING DAY (with the guidance of your LAND REALTY GROUP Realtor®, you will:

Sign documents that do the following:

  • Finalize your mortgage;
  • Pay the seller;
  • Pay your closing costs;
  • Transfer the title from the seller to you, and;
  • Make arrangements to legally record the transaction a a public record.

Step 8: Protect Your Investment

Throughout the course of your home-buying experience you and your LAND REAL ESTATE GROUP Realtor® have spent quite a bit of time together and gotten to know each other well.  Your Realtor® does not want you to throw all that trust and rapport out the window.  Even after you close on your house, your Realtor® wants you to keep in touch and can still assist you (i.e. send you the closing paperwork for your first tax return as a homeowner; find contractors to help with home maintenance or remodeling; help your friends and family find homes; keep track of your home's current market value; and more).

Keep in mind! Attention to your home's maintenance needs is essential to protecting the long-term value of your investment.

Home maintenance falls into two categories:

Keeping it clean:

  • Perform routine maintenance on your home's systems, this varies depending on their age and style.

Keeping an eye on it:

  • Watch for signs of leaks, damage, and wear;
  • Fix small problems early, this can save you potential large sums of money later (if you wait).