Buying a Home the Easy Way

Ready to purchase your first home? Use this easy-to-follow checklist to navigate the path to homeownership.

• Determine Your Budget: It's best to determine how much house you can afford early to avoid falling in love with a home that will stretch you too much financially. You may also decide that you need time to save up for a down payment or improve your credit, which will impact the rest of your home purchase steps. Setting a realistic budget will make the rest of your home buying process much smoother.
• Find a Pro: You do not have to work with a real estate agent to buy a home, but it can be beneficial, especially on your first home purchase. This professional can provide insight into the local real estate market, negotiate on your behalf with sellers, schedule showings at potential properties, and write all of the legal contracts. They can also recommend reputable inspectors, contractors and mortgage professionals.
• Get Pre-approved by a Lender: Meet with mortgage professionals or lenders to discuss available financing options and qualification requirements. A preapproval generally indicates that a lender has reviewed certain financial information and determined that you may qualify for financing, subject to verification and final underwriting approval.
• Search, Search, Search: This is where working with a Realtor can save a lot of time. You provide them with your home criteria and budget; they search through the available homes  that align with your needs and budget. You can visit potential homes through private appointments or open houses, which your Realtor will set up. Don't be afraid to keep searching until you find just the right place to call home.
• Make a Purchase Offer: Once you find the right home, your Realtor will draw up a purchase offer and send it to the seller. They can accept your offer, reject your offer, or come back with a counteroffer. Negotiate price and terms until you and the seller agree on the sale. If you can't agree, go back to step four and keep looking for the right place.
• Get an Inspection: Before the sale is final, it is best to get a home inspection completed by a licensed professional. You can find out about any major repairs that need to be done. This contingency is often written into the purchase agreement. If anything is found that you are uncomfortable with, you can back out of the purchase. You also can request that the seller fix major issues or lower the purchase price before the purchase is complete. A lender may require an appraisal to evaluate the property's value as part of the financing process.
• Close on Your Purchase: This is the most exciting step—when you sign the official purchase agreement and get your new keys. Closing generally takes place at a law office or title company and closing generally takes place at a law office or title company and is coordinated among the parties involved in the transaction.. Congratulations! You are now a homeowner.