CHECK YOUR CREDIT SCORE

Lenders use credit scores, also known as FICO scores, to evaluate the potential risk of lending to you. The higher the number, which runs from 300 to 850, the better your score. The best mortgage rates go to borrowers with credit scores in the mid- to high-700s or above, according to the Consumer Financial Protection Bureau.

GET PRE-APPROVED FOR A LOAN

It is very important that the first time home buyers go through the loan pre-approval process before they begin shopping for a home.  This gives you the ease and comfort of knowing what you can most afford prior to finding your dream home.

Find the loan officer who can assist you in getting the best financing program for your purchase. An offer on a property by a pre-approved buyer gets a better treatment than that by a buyer who is not.  It is so frustrating to find your ideal home in the right area and then finding out later that no financing is available to close the sale. 

Buying real estate is a complex matter with many factors to consider as no two homes or transactions are alike. The unique opportunities and potential pitfalls are best navigated with an expert on your side. 

BOOK A NO-OBLIGATION CONSULTATION MEETING

You can find homes for sale on your own, but a good broker can help you make sound decisions and guide you through the home buying process. They can also help you get access to homes as soon as they hit the market, before they may be listed online.

During this meeting, you and your VIP Estate broker will walk you through the process and discuss  goals and needs which could include:

• Finding the right neighborhood for you
• Narrow down the types of home you'd like to see
• Options that could be within price range you are approved for
• Possible next steps you could take to move the process forward.

FINDING 'THE ONE'

Now that you and your VIP Broker have clearly defined your need, your VIP Broker will then start the search from the multiple listing and from all other sources for possible properties for sale that would fit your needs. . 

Sometimes, you may come across properties that you see from some advertisement along the way.  Call your VIP Broker and have him/her do the research on these advertised properties to check on the status and availability of these properties and to make sure they are the right ones that you are looking for.  That is what your Buyer’s Agreement is all about.  Your VIP Broker is responsible to assist you in the purchase process.

MAKING AN OFFER TO BUY

Once you and the seller agree on a price, your VIP Broker prepares all the necessary forms and explains each form that you would need to sign.  You decide on what price and how much deposit you will offer, the time you plan to close (the mortgage officer gives an estimated time of closing depending on the loan application process) and what other conditions that you need to include, (i.e. inspection, financing).

If the offer is accepted, a cash deposit, also known as “earnest money,” is often required to show good faith. (This money will be held in an escrow account until closing, and will ultimately go toward your down payment.)
 

NEGOTIATING WITH THE SELLER

In the negotiation, it is best that you also put yourself in the seller’s shoes and consider what can be acceptable by both parties.  Remember not to be too personal about anything.  A good contract satisfies both Seller and Buyer.

Once both parties sign, there is mutual acceptance.  The clock then starts ticking from that date of mutual acceptance!  If offer is conditioned on inspection, Buyer then takes that right to hire an inspector within the specified time allotted.  Buyer then approves or disapproves the inspection depending on the inspection report submitted.  Your Broker should make sure that all conditions are met and removed by deadlines as written in the contract in order to proceed to closing.   

THE HOME STRETCH

This is the day that you sign all the documents needed to close on your new home.  This may be overwhelming depending on the amount of loan documents that are presented to you for signing by the Closer, an escrow officer or lawyer.  Each document shall be reviewed and explained to you carefully in detail by the Closer to assure that you have understood the documents that you are about to sign.  You should have to present whatever down payment and closing cost funds you need to pay in the form of a cashier’s check or certified funds. The Closer will give you instruction on this.  A copy of all documents you have signed will be provided to you.

It usually takes 24 -48 hours to review all signed documents by your lender.  If everything is in order, funds are transferred and the documents are recorded. Closing is when recording numbers are given.  The sale is then completed and the key to your new home is delivered.