Buyer's Guide - STEVE CHONG REAL ESTATE

FIRST TIME BUYER'S GUIDE

Buying a house is a major milestone in one’s life, but it can also be a complex and daunting process without the right guidance. As an expert real estate agent, I actively help my clients navigate the journey to homeownership with increased confidence, clarity and reduced stress.

This step-by-step guide will walk you through the essential stages of buying a house: from defining your needs to closing the deal, ensuring a smooth and successful transaction every step of the way.

Step 1: RESEARCH

Before diving into the house hunting process, take the time to clarify your priorities, preferences and financial budgets. Consider factors such as location, size, layout, amenities and proximity to schools, workplaces and other essential services.

Do you know where you want to buy? If you want a single-family home, condominium or townhome? Which features do you like and dislike? What is available on the market now?

In addition to looking for properties that interest you, also take note of any changes in asking prices. This could give you valuable insight into housing trends in specific neighborhoods and help you when the time comes to make an offer.

Manifesting the perfect home can be a daunting task, this is where our expertise and wealth of knowledge come into play. Let us show you homes that meet your dream home criteria so you can find the one that is right for you.

Step 2: DECIDE ON YOUR BUDGET

Determine your budget by assessing your financial situation including income, savings, debt and credit score. Next consult with a mortgage lender to get pre-approved for a loan.

This also includes doing a full household budget and taking into consideration what changes other than a mortgage payment will occur once you move into your new home. If you have lived in an apartment or with roommates, you may be overlooking new expenses like electric, garbage, water or HOA fees that could easily max out your budget.

We will arrange showings of homes you are interested in that are within your price range. Take notes about what you like and do not like. Make sure to pay attention to all the details.

Step 3: GET PREQUALIFIED/SECURE FINANCING

Before you get your heart set on a home, talk to a mortgage professional to find out what amount you can qualify for. This will also be an advantage when you make an offer on a home, as some sellers won’t entertain offers from those who are not already prequalified for a loan.

Work with your mortgage lender to secure financing and select the option you feel the most comfortable with.

Step 4: CHOOSE A TRUSTED REAL ESTATE AGENT

Partnering with a knowledgeable and reputable real estate agent is invaluable when navigating the housing market. Your agent will serve as your advocate, providing expert guidance, conducting market research, scheduling property viewings and negotiating on your behalf throughout the buying process.

Finding the perfect home can be a daunting task, this is where our expertise and wealth of knowledge come into play.

Let us show you around some homes that meet your dream home criteria so you can find the one that’s right for you.

Step 5: FIND THE RIGHT HOME

With your real estate agent’s assistance, begin exploring available properties that align with your criteria and budget. Browse online listings, attend open houses and schedule private viewings to assess the condition, layout and suitability of each property.

Take note of any features or concerns and communicate your feedback to your agent to refine your search and identify potential contenders.

We will arrange showings of homes you are interested in that are within your price range. Take notes about what you like and do not like. Make sure to pay attention to all the details.

Step 6: CONDUCT DUE DILIGENCE & MAKE AN OFFER

Once you have identified a property that meets your requirements, it is time to conduct due diligence. We will help you review relevant documents, such as property disclosures, inspection reports and comparable sales data to assess the property’s value and condition.

Negotiation is a critical aspect of the home buying process and your real estate agent will leverage their expertise to advocate for your best interests. Expect counteroffers from the seller and to work with your agent to negotiate terms such as price, contingencies, repairs and closing timelines until reaching a mutually acceptable purchase agreement.

We will craft a competitive yet reasonable fair offer that reflects market conditions, the property’s worth and your financial capacity and submit it to the seller’s agent. Depending on what the home is listed at and whether the current environment is a buyer’s or seller’s market, your offer may be below, at, or even above the asking price. We will be able to help you negotiate if you receive a counteroffer and reach an agreement. At this point, the house will go into escrow.

Once both parties have signed the purchase agreement, we proceed to the next steps of the transaction.

Step 7: GET A HOME APPRAISAL & INSPECTION

Your lender may have your new home appraised so they have their independent value of it. The appraisal is to ensure that all parties involved are paying a fair price for the house.

Schedule a comprehensive home inspection to assess the property’s condition and address any issues or concerns before proceeding. In most cases, your offer will be contingent on having the home inspected to ensure there is no major structural damage or large repairs needed.

If there are no major issues, then progress into Step Eight. If there are any issues, you can re-negotiate your offer based on what needs to be fixed or you can withdraw it.

Step 8: SELECT YOUR LOAN

With the purchase agreement in place, it is time to finalize your financing arrangements and complete due diligence to ensure a smooth closing process. Work closely with your mortgage lender who pre-approved or pre-qualified you to secure a loan that fits your needs and budget, providing any necessary documentation and meeting deadlines to expedite the approval process.

You will be presented with various options based on your unique financial situation, including fixed-rate, variable-rate, 15-year, 30-year or special programs such as VA loans or FHA loans.

Step 9: REVIEW CLOSING DOCUMENTS AND PREPARE FOR CLOSING

As the closing date approaches, we will coordinate with all parties involved, including lenders, attorneys and title companies, to facilitate a seamless transition to homeownership.

Review the closing documents carefully, including the settlement statement, loan documents, and title insurance policy, ensuring accuracy and understanding of all terms and fees.

Time to prepare certified funds for closing costs and down payment and schedule a final walkthrough of the property to verify its condition before signing on the dotted line.

Step 10: CLOSE THE DEAL & CELEBRATE

On the day of closing, gather with all parties involved at the designated location to sign the necessary paperwork and officially transfer ownership of the property.

Once all documents are signed, funds are disbursed and keys are exchanged, congratulations – you’re officially a homeowner!

CONGRATULATIONS

Take a moment to celebrate this significant milestone and begin making memories in your new home.

Buying a house is a multifaceted process that requires careful planning, diligent research and expert guidance every step of the way. By following this step-by-step guide, you can navigate the journey to homeownership with confidence and clarity, ensuring a smooth and successful transaction from start to finish.

Whether you are a first-time buyer or a seasoned homeowner, partnering with a trusted real estate professional can make all the difference in achieving your homeownership goals and realizing your dreams of owning a home.