My Next Three Steps Toward Homeownership

Nov 13

I'm a seasoned mortgage broker who helps clients in Arizona, California, Colorado, and Florida secure the best-fit loans for their dream homes. I just went through my first home-buying experience on my own.

Working in the mortgage field, I live the loan process with my clients daily. But buying a home, figuring out what I wanted in a house, scaling all the facets of a successful transaction, and closing as the borrower were relatively new territory for me. Seeing the process from a different perspective was new and helpful.

This blog will cover the next steps that took me from the excitement of an accepted contract to the joy of closing. If working toward becoming a homeowner this year (or anytime soon), check out my recent blog on the first seven steps I used in my home-buying process. Then, use these following steps as a roadmap to a purchase.

Submit a Winning Offer

The market is hot…quite often. Sometimes, it's hard to tell if that's true. It's become such a 'hot' phrase! If looking to submit an offer on a dream home, that offer will likely compete with others. So, it's in the best interest to make an offer as attractive as possible to the seller(s).

Here's what I did to help make sure that my offer had the best chance of acceptance.

I offered FULL Price.

I included an 'escalation clause,' which states that I'll match any competing offer and pay up to a certain (reasonable) dollar amount more in a multiple-offer scenario.

I submitted a 'clean' offer and didn't ask for anything. There were no closing costs, allowances, home warranties, or extras.

I asked for a closing date that would benefit both the seller and me. I wanted this to be a flexible and happy transaction for everyone. We negotiated and determined that a 50-day closing would be best for all parties.

I made it personal! I wrote a letter to the seller explaining why I loved their home and why it worked for me. I introduced myself and told them about my family and my pets. I included photos as a personal touch. I wanted them to be able to envision me owning and loving the home just as they did. (It worked!)

Conquering the Loan Process

I'm in a unique situation where I know exactly what's needed for a mortgage, but this was still an in-depth process.

I had to:

Collect and compile all my financial documents: Bank statements, income records, employment verification, and more
Verify that I explained sources of income and my unique situation to the underwriters working on my loan
Make sure everything was readable and legible on the application itself as well as in my submitted documents

This process gave me a greater understanding of what my clients go through when they apply for a mortgage. It's easy to overlook a necessary document, submit the wrong one, or submit an illegible one and become annoyed when things move slower than I'd like. With mortgage applications, there are what seem like a million moving parts, and sometimes, our excitement over a new home overpowers the necessity of getting all of the documentation in order – even if already pre-approved. The final approval will arrive with patience on all sides, regular updates, and grace offered for everyone.

Completing a Worry-Free Inspection

Trust me when I say buying a house without an inspection is like buying blind. Even if it is a foreclosure property, where the bank is selling it as-is, or a 'fixer-upper' property with plans to overhaul, having the home inspected is still important. That is how to learn what problems it has.

I always recommend hiring a trusted independent inspector to perform a home inspection. When researching the inspector and the inspection company, do the homework. Verify they are qualified, licensed (required in some states), and experienced.

I also suggest additional inspections. These can include inspections on the roof, sewer, electrical, mold, lead paint, asbestos, foundation, and termite inspections. This is the time to go through the home with a fine-tooth comb. Review the SPDS, the seller's property disclosure statement, to see what issues have happened in the past and determine if any additional inspections need to be done. Here is a great resource on the home inspection types. It's also best to attend the inspections; a realtor will likely recommend you do so. Plan to meet with the inspector or the specialist toward the end of each inspection and discuss their findings and recommendations.

Once the inspection report is back, it can be used to negotiate seller repairs or allowances the seller might offer to fix any issues before the sale. As noted in the purchase contract, a client can walk away from the purchase if the home needs numerous (and expensive!) repairs.

Ready to purchase a home? We can help.

We'd love to help to get pre-qualified to determine how much house is affordable and to discuss the loan options. When ready to apply for a loan, we'll be here every step of the way.

Connect with us at 480-313-7103 or by emailing sam@mindfulmoneyusa.com.

* Specific loan program availability and requirements may vary. Please get in touch with the mortgage advisor for more information.

Mindful Money is a lending provider servicing Arizona, California, and Colorado with mortgages of all kinds. Whether it is conventional mortgage, FHA mortgages, or reverse mortgages, we help buyers secure a loan to finance the home of their dreams. Call today to learn more.

Home Buying ProcessSteps To Buy A Home