What do I need to know when purchasing a home?
Buying a new home may be one of the most important purchases that you make in your life. For the first time home buyer the process can be especially confusing. New terms, deadlines, legal language, acronyms, and large sums of money at stake make for a stressful process.
At duPont Mortgage our goal is to make the home buying process stress-free.
Important steps and points to consider:
- Is it the right time for me to buy a home? Whether you are a first time home buyer or you are a seasoned investor, purchasing property is a financial decision that benefits from the guidance and support of experienced professionals. Meet with experienced professionals who will assist you in your decision making process to understand the financial and legal implications of each step.
- Retain your Mortgage Broker before you begin working with a Realtor. The only way to know how much you can afford to pay for a property is to have a Mortgage professional complete an initial analysis of your buying power. Without this information, you won’t know the maximum price you can afford to offer for a property. duPont Mortgage can not only complete an analysis of your purchasing power, we can also get you pre-approved for a certain loan amount before you begin your property search. Having a solid pre-approval will increase your legitimacy with Sellers.
- Once you know your purchasing limit, begin your search for a Realtor. At duPont Mortgage we have experienced professional Realtors that we can suggest to you.
- Do your research. Get familiar with real estate websites and peruse them on a regular basis. Websites such as Zillow.com and Realtor.com will help you to familiarize yourself with the market and help you to set realistic expectations.
- Understand the term “per square foot.” Use the per sq. ft. amount of a home to compare different properties. This will help you to insure that you are comparing properties using the best available information.
- Inspect each property thoroughly before submitting a proposed purchase contract. After the Seller has agreed to your purchase contract, there will be a limited inspection period. Use this time to retain a professional property inspector to perform a detailed, professional inspection of the property to protect you from possible unforeseen issues.
- Keep your mortgage professional aware of your progress, as well as any changes to your financial condition. Quickly respond to any requests for documents from your mortgage professional. After the purchase contract is approved by the Seller, but before your inspections are completed, you should have you mortgage application in processing along with all of the supporting documentation.
- Retain an insurance professional. Although your choices may be limited, it is important to compare prices for the various property insurance policies (hazard, flood) that you are responsible for obtaining.
- Prepare for the closing. duPont Mortgage will provide you with a checklist of items that need to be completed before the closing. Some items are as simple as scheduling electricity to reserving the moving van. But don’t worry, we will be with you every step of the way to answer any of your questions and guide you through the process.
- Post closing, please organize your closing documents, place them in a labeled file and store them in your office in a way that they will always be accessible. If possible, scan all of the documents into a file properly labeled so that you will be able to access the closing documents on your computer. You will be surprised how often you will reference them.
- Celebrate your accomplishment! Purchasing a property is a big deal; take a moment to relish your achievement!
Types of purchases: