Buying a Home

10 Simple Steps of the Home Buying Process

Words by Abbie Dyer on Mar 16, 2015 10:00:00 AM

Knowing how to navigate through the home buying journey can be overwhelming. We'll help make the process a bit easier by preparing you for what’s ahead.

If you think you're ready to purchase a home, here are 10 easy steps that'll you get through the home buying process like a pro!

Decide if You’re Ready

Before you even start looking, take a peek at your finances and see if you can afford a new place. Use a savings calculator to help you determine how long it’ll take you to save up for a down payment, closing costs and repairs.

Find a Realtor 

Working with a realtor can save time on your home search because they’ll be able to point you to properties that best fit your needs. When you go to make an offer on a house, they can do the negotiating for you and handle all of the legal paperwork.

Get a Mortgage Pre-Qualification 

Shop around to find the best interest rate* for your mortgage. When you are pre-qualified, you’ll be able to shop for homes in your price range with confidence. It also shows sellers and real estate agents that you’re serious about buying.

We’ve partnered with Mortgage Center to offer a variety of loans to fit your needs. Together, we can help you with every step in the financing process. Give Mortgage Center a call at 888.429.6908 to get started.

Look at Homes

Now you’re at the fun part. See what’s available in your desired area using sites like Realtor.com* and Zillow.com*, and work with your realtor to schedule times to look at homes to get a feel for what’s available in your area and budget. You'll also want to decide if you want to take on a home in need of a little TLC or if you prefer something newer and updated. Once you’ve found the perfect place, it’s time to get financing. 

Get Funding

If you haven’t been pre-qualified, now is the time to find financing. If you were pre-qualified, make a call to your lender and let them know that you’ve found a home and you would like to get started on the mortgage process. They’ll give you more specific financing information, like how much to expect for closing costs.

Make an Offer

Work with your realtor to come up with a fair offer, and don’t be afraid to haggle and offer a lower amount than the seller is asking. Be careful of making a extremely low offer though; you don’t want to offend or upset the seller and lose out on your dream home. This is also the step where you’ll pay a deposit to show the seller that you’re serious about your offer. The deposit is usually around two percent of the purchase price.

Get an Inspection

Make this a contingency to your offer. An inspection will identify any potential repairs and will provide you with a detailed report on the condition of your home. This can also give you the option to back out of the deal if things don't check out. This report is an extra expense but it can save you a great deal of money and many headaches later.

Purchase Insurance

Your home is a major investment so you want to make sure that you have proper insurance coverage in case of an emergency. Shop around, get some different quotes, and decide on how much coverage you’ll need. Make sure to pay your first payment the day before your closing date.

Closing Day 

This is the day that you’ll meet with your realtor and lenders, sign documents and disburse funds. You’ll need to make your down payment and pay for any closing costs today. And, once it's said and done, this is the day you'll get your key!

Decorate and Make Changes

The place is finally yours! Start unpacking your boxes, paint, and do any renovations that are in your budget. Congratulations on completing the buying process and enjoy your new home

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 SEE ALSO:  4 Things to Ask Yourself Before Buying a Home   |   First-Time Homebuyers, Don't Overlook These 6 Costs of Owning a Home

Mortgage Center NMLS# 282701

To read the full article, visit Realtor.com*.

*Third party website. Lake Trust Credit Union is not responsible for the content, availability, security or compliance of any linked third party websites. In addition, the site's privacy policies may differ from those of Lake Trust.

Topics: Buying a Home

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