By Elton Fattig
Getting started can seem like the most difficult part in Real Estate but in reality it is VERY SIMPLE. Once you realize that you are open to the idea of buying a home do not let that moment slip away. With the right team on your side buying a home is a fairly simple and easy process. Then when its all done you can celebrate that you are now building equity and letting someone else throw away thousands each month to make another person rich.
Buyer Team = You + Realtor + Lender
Seller Team = Seller + Realtor
Now along the way we could have other 3rd parties that show up such as inspectors, apprisers, title companies, Escrow agents, etc. Remember though, they are part of the process but not on either team. In addition, your Realtor will explain each of these individuals, however you may not even have to think about most of them.
*It is important to remember this is a general idea of the typical transaction and yours could vary to a certain degree but this framework will help you in understanding what to expect. Your Realtor will keep you up to date on your particular transaction.
Let get in to the process...
Step 1...Reach out to a Realtor
I always suggest starting with finding your Realtor. Think about it this way, Buyers are like the team owner, they get to make all the final decisions. The Realtor is like a head coach, they know all about the market, timing, who needs to be where and when. In addition they are also a great resources for contacts. You of course you can alway do a simple online search, but they typically have names and numbers of lenders, inspectors, contractors, lawn services…etc. This is their world, service providers each out to Realtors with lots of information about what they can provide, use this to your benefit.
Step 2...Reach out to the "RIGHT" lender
Not all lenders are created equal. It’s easy to understand that some specialize in residential, some in land, some in VA, the list goes on. The part that most do not think about is that some have a specialty in closing on time, some can get a appraisal ordered and completed weeks earlier than others, some can order the appraisal and not required they buyer to pay up front…these are the details that can make or break a deal. Talk with your Realtor, let them explain how offers are put together in your market, discuss the timelines from buying to closing (also called Escrow), this conversation will be priceless when you begin looking for the RIGHT lender. Remember to find the right lender, don’t just choose from what is familiar.
Side Note about the power of a good Lender…
Lenders of today are great at what they do. If you are holding back because of your credit, lending guidelines you read online, thoughts about the amount of debt you have, think you need to pay off certain things first, whatever it may be. Know that lenders are the professionals and you would be amazed at how quickly sometimes the things you were concerned about have no impact at all. In addition and most valuable is their ability to pinpoint the exact action you need, i.e. pay $300 toward “x” card, for them of issue an approval. Lenders can take all the guess work out of the process.
I will get in to the buying process, offers and the dynamics of escrow in another post. Just remember that buying a home is a big decision. If you’re thinking buying a home and more information might help you decide if buying is right for you…reach out to a Realtor. We will talk it out and if its truly the right choice you will know after that conversation.