Buying a Home
Don’t be overwhelmed with the homebuying process. If you just follow this step-by-step guideline provided by HUD, you will soon be holding the keys to your own home!
Nine steps to buying a home
Step 1: Figure out how much you can afford
How much you can afford depends including sources of your income, credit rating, current monthly expenses, current debts, downpayment, and the interest rate. The calculators on the left panel can help you crunching some numbers. It is best, however, to sit down with one of our knowledgable staffs.
Step 2: Know your rights
Followings are some materials published by HUD. If you have time, it’s recommended that you read them to learn more about your rights.
Step 3: Shop for a loan
Save money by doing your homework. Talk to several mortgage brokers and/or lenders. Compare costs and interest rates, negotiate to get a better deal.
Anyway, getting pre-approval letter for a loan is a good idea. A pre-approval letter would make your case looks better when you submit offers to purchase a home.
Step 4: Learn about homebuying programs
It’s important to learn that there are many loan programs out there in the marketplace. Please talk to your agent to learn
Step 5: Shop for a home
If you choose a home in a neighborhood with a Home Owners Association (HOA), be sure to request a copy of the HOA packet, so you can review before closing.
Step 6: Make an offer
Discuss the process with your real estate agent. If the seller counters your offer, you may need to negotiate until you both agree to the terms of the sale.
Step 7: Get a home inspection
Make your offer contingent on a home inspection. An inspection will tell you about the condition of the home, and can help you avoid buying a home that needs major repairs.
Step 8: Shop for homeowners insurance
Step 9: Sign papers
You’re finally ready to go to “settlement” or “closing.” Be sure to read everything before you sign!