Buying a Home
A step by step guide to buying your home.
The process of buying a home can be a bit stressful, at times. Both the financial and emotional investment of home ownership is considerable. The antidote for any homebuyer—particularly a first-time buyer—is a clear understanding of the process. How it works. What happens when. What to expect next. Here are the steps from the initial research stage to closing.
Select a Home
You'll know it's right when you see it. And once you've found it, you'll want to make sure the surrounding community is as lovely as the home. Check into the quality of the local medical facilities, the student-teacher ratio in the school system, the access to metropolitan airports, cultural events, parks, places of worship, and any other services important to your quality of life.
Secure a Loan
Now it's time to work out the financial details. How much will you put down and how much will you borrow? At what interest rate? Fixed or variable? That is, will the principle and interest rate remain fixed for the duration of the mortgage or will the rate vary depending on the financial index on which it is based? And how many years will you take to pay it back? As you negotiate these numbers with your mortgage representative, remember you'll also need enough cash for the down payment and closing costs. Visit Pulte Mortgage, LLC
Arrange for Homeowners Insurance
Unless you pay cash for your home, one of the requirements that will be made by your mortgage representative is proof of a valid homeowners insurance policy, secured before closing. This policy will protect your investment as well as that of your lender. Typically, you are required to pay for a year of the policy at the time of closing; later payments can then be rolled into the cost of your monthly mortgage.
This is the time to verify that the home you're about to buy is exactly what's presented in the contract. The closing typically requires specific documents supplied by the seller and the buyer.
A Seller, the Builder or Current Homeowner Supplies:
• Breakdown of closing and mortgage settlement costs
• Original purchase agreement
• Title or Deed
The Buyer Supplies:
• Valid identification
• Certified funds for down payment and closing costs
• Loan papers
• Proof of Homeowners Insurance
Once you approve and sign the necessary documents, the house legally belongs to you. Let the house warming party begin!