Buying a home with reology
Whether you are a first time home buyer or a home owner looking for a new home, we can help you! As one of the leading real estate brokerages in Acadiana, we consider our team experts. At Reology, we understand that the buying process may seem intimidating or stressful to many, but that’s why we are here to help you. When you choose Reology to assist you, your agent has access to the industries leading tools and resources to help you find your dream property. Our goal is to make the buying process for you not only easier, but more efficient.
The home buying process
In our years of experience, a home is not merely a dream home because of its size, color, or even location. It’s truly about how it makes you feel the second that you walk through the front door and the way you can instantly see your life unfold. It’s simply more than just real estate, it’s about your life, the life of your family and the dreams that you are wanting to accomplish there.
Step One:
the visit
Step One:
the visit
Step One:
the visit
You and your agent will arrange to visit the homes you’ve selected, then each of you will determine the best fit for you and your family.
- Get an accurate idea of your price range, an estimate of your monthly payments and a pre-approval letter, if able, so sellers will take you seriously when you make an offer.
- Work with your agent to make a list of your “wants” and “needs” so they are able to help find the best fit for you. What’s more important to you? The location or the home itself.
- Plan a home visit itinerary with your agent.
- You and your agent will typically visit all of the homes together.
- Homeowners usually are not home, so you’re typically able to spend as little or as much time as you would like.
- Buyers tend to know they have found their forever home as soon as they step through the front door.
- It is important for you to consult with your agent to learn more about home values and other information to make sure of what you want.
- Keep in mind to look beyond the staging and decorations of the home to see all of the features and fixtures in the home.
- Check the condition of the home.
- Take as many notes as you can.
- Photos are also useful to make comparisons between two homes.
- Always consider possible improvements that you might want to make if you decided to purchase that home.
- Don’t forget to check out the outside of the property and the neighborhood. Your agent is able to give you access to neighborhood insights and data to help you make your decisions.
- Keep in mind your commuter route to work, schools, shops, restaurants, parks and other amenities within the area.
- If the property is a condo or located within a homeowner’s association, it’s important for you to make notes of the fees and rules.
Step Two:
Make An Offer
Step Two:
Make An Offer
Step Two:
Make An Offer
Your agent will have the most up-to-date standard purchase offer forms that comply with state and local laws.
- The price.
- Terms and other contingencies.
- Estimated date of closing.
- A deposit.
- Request a final walk-through.
- Time limit for the offer.
- Financing. Unless you choose to pay cash, it’s typical to write your offer with a contingency clause that lets you off the hook if you can’t finalize your mortgage within a certain number of days. Although you may be pre-approved for a loan, it’s smart to protect yourself.
- Home inspection. Your offer can be made contingent upon receiving a satisfactory home inspection report within a certain number of days. This will protect you if the inspection uncovers expensive necessary repairs. In this scenario, we may be able to negotiate the repairs with the sellers.
It’s possible for you to find yourself competing against other buyers during a competitive housing market. In that case, your agent is your best ally in strategizing for your offer to be accepted. Because your agent has access to current mark data, your agent will know how to best position your offer.
Sellers can accept your offer as is, or they can make a counteroffer with an adjustment to some or even all of your terms. Once you receive their counteroffer, you too, can either accept or reject the counteroffer and make your own counteroffer. The contract is only final once you and the seller have agreed to all of the terms.
Step Three:
Execute Contract
Step Three:
Execute Contract
Step Three:
Execute Contract
- Accuracy of information, including the correct spelling of your name and the correct property address.
- The effective date of the contract — this is important because your contingencies have time limits.
- A list of contingencies such as: the sale depends on you receiving financing, an appraisal, a satisfactory home inspection and even the sale of your current home.
- Property disclosure information from the seller.
- A complete list of what conveys with the property.
- A list of required inspections, such as a home inspection and a pest inspection.
- Information and time frame on when you are able to move in.
Even though your agent will be able to guide you through the negotiating process, it’s still important for you to decide on how much you want a particular property and what you’re willing to accept to get it.
You may want to let go when:
- A bidding war drives the price too high.
- The appraised value of the home is below your offer.
- A home inspection finds defects that would be expensive to repair.
- The sellers are unwilling to make reasonable repairs.
- You learn about homeowners association rules that won’t work for you.
Your agent will be able to help you watch out for:
- Missing deadlines could potentially mean you could lose your chance to end the contract and keep your deposit.
- Items that don’t transfer with the property.
Step Four:
schedule Home Inspection
Step Four:
schedule Home Inspection
Step Four:
schedule Home Inspection
Now that the offer you made has been accepted, it’s time for you to schedule your home inspection. If you happen to be buying a home during the busy season, it may take time to find an inspector that is available. If you happen to not know of a home inspector, your agent will be able to recommend a trusted inspector for you.
Your home inspector checks everything within the home ranging from all of its systems, appliances and structures to evaluate its condition. You will receive a written report that will identify potential problems and even future maintenance issues. It’s up to you to decide whether the report means you want to walk away from a home or ask the sellers to make repairs before you buy.
The inspector will check:
- Structural conditions — to include the roof, foundation, beams, and floor.
- Mechanical systems — such as the heat and air conditioning.
- Appliances — to make sure they function correctly.
- Plumbing — for leaks, rust and water pressure.
- Electrical systems — such as grounded outlets and code violations.
- Safety issues such as stairs, handrails, mold or chimney maintenance.
While you and your agent can decide whether to negotiate on anything in the inspection report, you should ask the inspector questions such as:
- Are the issues that you’ve found major or minor issues?
- What needs to be done to resolve any flagged issues?
- Can you give me an estimate of the cost of any repairs?
- Do I need another inspection from an electrician or a structural engineer?
- Are there things that I will need to do after I move in?
Step Five:
Get A Home Warranty
Step Five:
Get A Home Warranty
Step Five:
Get A Home Warranty
Although it’s completely up to you, we highly recommend that you purchase a home warranty. This will allow you, the buyer, to be protected from any “out-of-pocket” cost that may come up from home appliances or systems that may break within a specific time frame of purchasing the home. Your agent is able to give you advice on whether you should pay for a home warranty yourself or negotiate with the sellers to purchase it for you.
A home warranty policy, which typically lasts for one year and is renewable, provides coverage for some of your home’s systems and appliances. In return for the annual fee, the company will cover repair costs and arrange for contractors. You’ll pay a deductible fee and possibly service fees if you need to use the warranty.
If you’re buying an existing home, especially one with older appliances, a home warranty can give you peace of mind about paying for unexpected repairs. If you’re a first-time buyer, especially if you have limited savings, this can be important for you. If you have plenty of emergency savings, you’re handy or know good contractors, you may not need a warranty. Your real estate agent can also be a good source for you if you need recommendations for contractors. If you’re buying a newly built home, you may not need a home warranty.
You and your agent should review the following to see which home warranty is best for you:
- The home warranty company’s license with your state’s real estate commission.
- Exclusions and limitations within the fine print.
- What’s covered and what’s not.
- The coverage limits on the specific amount that the repairs will be paid up to.
- Service fees and deductibles.
- How quickly service and claims are handled.
- Online reviews.
Step Six:
The Closing
Step Six:
The Closing
Step Six:
The Closing
As the closing comes to an end, you should:
- Stay in close touch with your agent, lender and title company.
- Avoid lowering your credit score with a new credit application or late payments.
- Confirm that your contract contingencies are resolved, including the home inspection, an appraisal and your financing.
- Finalize your homeowner’s insurance policy.
- Gather your down payment and closing cost funds in an accessible account.
- Review your Closing Disclosure form, which you’ll receive three days before your settlement, and ask questions if you don’t understand something.
- Arrange a wire transfer or get a cashier’s check for the funds you need for the settlement.
- Schedule a walk-through of your new home within 24 hours before your closing to check its condition.
A lot of paperwork! The closing may take a few hours.
Here is a list of what you should bring to the closing:
- A government-issued photo ID.
- Proof of homeowner’s insurance.
- Your copy of the contract.
- All paperwork associated with your loan and the home purchase.
- Your cashier’s check or wire transfer confirmation.
- Your checkbook for miscellaneous funds that weren’t included on your closing estimate.
You’ll be signing numerous documents, including a repeat of the documents you signed when you applied for your loan. The most important documents you’ll sign are:
- Promissory Note to repay the mortgage.
- Deed of Trust, which gives the lender the right to foreclose if you don’t repay the loan.
- What’s covered and what’s not.
- Initial Escrow Disclosure, which outlines the funds on deposit for your property taxes and homeowner’s insurance bills.
After your closing:
- Keep all your signed documents in a safe place.
- Avoid lowering your credit score with a new credit application or late payments.
- Change your address.
- Review your due dates and new budget.
- Enjoy time with your family and friends at your new home.
Are you ready to buy?
Are you ready to buy?
