The 12 Step Home Buying Process

1. Find a good real estate lender who will help you determine your
affordable price range and help you formulate a plan to locate
funds to buy a home. Learn about the costs involved in buying.
Become pre-approved for a home loan.

2. Find a good real estate agent who can help you find a good home.
Ask your friends who have purchased recently, a local Title Company
manager, or ask The Loan Guy for a few names.
Interview the candidates to locate a good personality match.

3. Learn what homes are available for sale in your price range within
an acceptable commuting distance. Your real estate agent will be your
guide.

4. Working with your real estate agent, formulate an offer to buy.
Check out "Home Buying Tips" on this web site for negotiating ideas.

5. Contact your loan agent to obtain a customized pre- approval letter
to accompany your offer to buy.

6. Negotiate with the seller the terms of purchase: sales price, close
of escrow date, move-in date, repairs (if any), and closing costs (who
pays for what). Obtain a copy of the final signed, accepted offer from
your agent.

7. Your Realtor® will open an "escrow" to handle the legal documents and
coordinate all financial aspects of the transaction.

8. Apply for a loan to finance the home you are buying.

9. Your real estate agent, acting as expert facilitator, will coordinate
all of the details during the time between making the offer and becoming
a homeowner. Apply for homeowner’s insurance after your approval of the
condition of the property, unless you are buying in a condominium
association. If buying a condominium, pre-arrange condominium owner’s
insurance.

10. Arrange transfer of the utilities to your name, and make
arrangements to move your personal belongings.

11. Sign the final loan and escrow papers, transfer your funds for the
down payment and closing costs to the escrow company.

12. Move in.

Back to Buyer Resources