The Real Estate License Professor

Congratulations! You have decided to buy your first home. This is a big step that might end up feeling like one big leap.

I remember when I bought my first house. It was well before I had written my real estate license exam. The process moved so fast I felt like I was surfing a wave barely staying ahead of the break. There was so much I could (should) have done to prepare myself for this full contact exercise. I really needed more than just my beautiful wife's hand to hold during this chaotic purchase. I needed a coach.

Now that I am an experienced real estate educator I think I can offer a proverbial hand to those who wish to be fully prepared before taking that big step buying their first home.

You should call a trusted friend or relative who has moved within your area recently. Ask them if they could recommend their realtor or even the realtor from the party who bought or sold their house. Make an appointment to meet with a realtor. Make sure he or she is someone you will be comfortable working with. You should realize that you don't have to go with the first agent you meet so if you aren't comfortable with this agent after the meeting go find someone else. Also don't sign any agreements at the first meeting. Take some time to mull over if he or she is right for your situation. You are going to have a lot of questions during this whole ordeal so you really need to have confidence in your agent.

In order to purchase your new home you will probably need a mortgage. I don't recommend you even begin to look for a new home without having financial approval in writing. Once you have this you will know what your budget is. On top of that it will give you an advantage when there are multiple offers. Since your loan has already been approved you might have leverage over other parties who have not yet been approved. Any offer you make you can be backed up with guaranteed funds.

Creating a realistic idea of the property you would want to buy is the next step. Make a list: One for the items you can't live without and one for the features you would enjoy. Process this list as you go house hunting. It is also accommodates you when you try to explore on line to see what is currently presented on the market. Your real estate professional can show you houses which possibly will meet your expectations. The HUD has a great wish list that you can print and fill out here.

After seeing each house take a couple minutes to rate the properties. In a list write down what you liked and what you didn't. Develop a rating system which will help you narrow it all down.

Immediately after leaving, rate each home on a scale of 1 to 10, with 10 being the highest.

Did you see one or more homes that fit your purchase profile? Call your realtor to organize a second visit. Many homes have rental suites. Owners don't want their renters bothered with every home viewing. Now is the time to request to see the suite. Take your notebook and reflect on what you had written about each room. Add any additional notes as after seeing many homes you may now see this house in a different way than the first go-around.

Did you find a place you now want to jump on. Have your agent call the listing agent to find out more about the sellers' motivation and to double-check that an offer hasn't come in. Organize a meeting with your agent to discuss an offer. What is their professional opinion on the house? Would they spend their own money if they were in your shoes? Discuss an offer strategy? Do you low ball. Do you have a price that you think will get you the house if you are in a multiple bid situation?

After the offer is accepted you should set up a home inspection. Failure to do so may be very expensive. It is common for a home inspector to discover problems such as a leaky roof, cracked walls, and foundation problems... problems that you might have missed. Ask your realtor to provide you with the contact details of at least three inspectors. Call and price each inspector. Once you know some facts choose him / her and get the inspection done. Depending on where you live you make sure that they do a pest inspection as well.

You need to be prepared to fill out a lot of forms. Give the correct documents to the mortgage holder so they can make the essential deposit. Sign the mortgage form and fill in the title and homeowners insurance as well as any other paperwork compulsory by the local or state governments. Hire a lawyer or escrow agent who is experienced with all of this legalize.

Buying your first house can be lightening fast process. All of the above can transpire in as short as a weekend. Relay on your realtor but you will need to rely on yourself more. There is a lot to know in order to go into this process with your eyes open. I hope this was of some help.