WHAT SHOULD A BUYER DO FIRST
1. Check your Credit Score, https://www.creditkarma.com/ , to check for errors, than buy your Credit Score at Equifax for $7.95 or get one free from CreditKarma.com. Need a least a 640 or above.
2. Visit your Lender for a Prequalification Letter to take to your Realtor.
3. Find a Realtor that will work for you and that you can trust
4. Call a Lender of your choice and get a Prequalification Letter. This letter will be submitted with an offer when you find a home. It shows the seller that you can purchase the home.
5. Ask the Lender for a Good Faith Estimate. It shows all closing cost, and how much your monthly mortgage note will be. She or he will also discuss the type of loan that fits your needs.
6. Make an appointment with your Realtor to discuss what type of home, price, & neighborhood.
7. Go shopping with the Realtor to see Homes. Stick with one Realtor.
8. Select a home that you will be happy in and can afford.
9. Have your Realtor write up an offer.
10. Your Realtor will negotiate your contract and all terms such as: Price, Earnest Money (Good Faith money that you put with your offer and receive back at closing, or it is applied to your closing cost or down payment; usually $500 to $1,000); Stipulations (any other information not in the contract that needs to be added); Closing Date, Attorney, Closing Cost paid by the Seller, Possession of property, & Repairs Needed.
11. After offer is accepted, the contract becomes binding between Buyer and Seller.
12. Your Realtor will deliver your contract to your Lender who will begin the loan process and have an appraisal done on your selected home.
13. Your Realtor will discuss and begin the Inspection process of your home. There will be a Due Diligence period on your contract, refer to, P3 #11, of the Purchase Agreement, where the Buyer is responsible for hiring a Professional Home Inspector if he or she desires one, and a Professional Termite Inspector. Mold, mildew, & lead base paint are also an option.
14. If Repairs are needed, your Realtor will negotiate this with the Listing Agency.
15. It takes approximately 30 days to close a Conventional or FHA Home, 45 days to close VA or USDA Home Loan. A Short Sell home can take up to 4 to 6 months to close.
16. Your Realtor will set up your closing with a local attorney that will check the title out for this property. They will not close on a home without a clean title. The Buyer does have an option to purchase Buyers Title Insurance to insure that never any issues pop up during their ownership.
17. Closing takes about 45 minutes. You will receive keys garage door openers, and any other information such as for appliances. Bring your driver’s license for identification to the closing.
Check this link out for more information: http://www.realtor.com/advice/10-step-guide-to-buying-a-house/