I thought it would be beneficial to share with you the top 10 things you need to know before purchasing your new home, whether you're moving to Topeka from within Kansas, or relocating to Topeka from out of state!
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“That’s The One!”
There is nothing better in the real estate biz than helping someone like you find ‘the one’. Usually I can tell by watching a client’s reaction when we pull up to the home when they find ‘the one’. Yours is out there somewhere!
You will find ‘the one’ much faster if you know what your WANTS and NEEDS are. If you haven’t already, I want you to take 5 minutes and write those things down! Not sure where to start? Ask questions like: “Why do I want a new home?” “Where will I want to live?” “When do I want to actually make the move?” Getting clear on these questions will really help me help you navigate through the home-buying process.
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The Ups and Downs of the Process
Look, buying a new home is an emotional roller coaster. You may feel emotions that haven’t come up in a long time! Happiness. Anxiety. Sadness. Anger. Despair. It’s good to understand NOW that these are emotions you will likely feel at SOME POINT during this process. And that’s OK!
What’s most important is to know this is a PROCESS. You will feel really happy when you find what you think is ‘the one.’ But you could be completely disappointed and sad if you find out that someone beat you to the punch and it’s already got a contract on it! It may even make you angry!
You need to understand that ALL of these emotions are NORMAL. I’ve been through this process with LOTS of clients. In the end, we need to UNDERSTAND what you want and trust the process. Eventually, once you’re approved, we WILL make an offer on a home that you love. When we do that, several different things could happen:
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Your offer is accepted and we immediately move to the next steps in the process (like getting an inspection on the home).
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The seller doesn’t accept the offer you gave BUT they make you a counter offer. We will be able to take a deep breath and you can evaluate whether it makes sense for you to move ahead with that counter offer.
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You go to make an offer and find out there are multiple offers on the property. That is called a good old fashioned “bidding war” with everyone else! Remember: deep breath. Everything will be fine.
Right now, we’re in a “seller’s market.” That means that houses are not on the market for very long and we may need to move fast and navigate situations like multiple bidders. That’s why I’m here.
Having someone at your side that you trust and has a VAST knowledge of the Real Estate process is what will protect your interests.
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Wants vs. Reality
Which one of us doesn’t want MORE in our lives?! Most of us do. Sometimes there can be things you want in a house, but you discover the financing company won’t lend you as much as you wanted to make that dream possible. That can be frustrating.
So it’s really important that you know on the front end of the buying process what your purchasing power is. If you are in the market for a new home or think you might be, the first thing to do is meet with a lender and see how much the bank is willing to loan you.
Financing is probably the #1 thing that prevents or slows down a potential new home purchase. So whether you're actively looking for a home, or it’s on the horizon for you in the next SIX months, NOW is the time to meet with a lender.
If you need a good lender recommendation, reply to this email and I’m happy to send you 3 different names of reputable lenders you can talk to.
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“SOLD!” ….Almost....
After we make an offer on a home that is accepted, next we’ll enter into the contracting phase. This is an intimidating and sometimes complex part of the process, but really all that happens is the specific terms of your home purchase are worked out. And what’s great is most Real Estate companies carry what is called ‘Errors & Omissions Insurance’ to protect everyone involved in the transaction just in case there are any mistakes. Deposits that are required to purchase the home are placed into a special trust account as determined by your contract. It’s important to understand the stipulations for that deposit because you can’t always get it back!
Again, it’s crucial you have someone who knows what they are doing advising you every step of the way.
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Is the Home as Good as It Looks?!
No matter what, ALWAYS get a Home Inspection before you close on a new home.
The goal of the home inspection process is to make sure there are no defects with the home itself or its major systems before you complete the transaction. The last thing you want (or your lender!) is to move into a home that has problems. The home inspection will highlight any major or minor issues associated with the home. Once we receive the home inspector’s report, you can negotiate whether these items be repaired BEFORE you close on the home.
EVERY home has things that need to be fixed. It’s the joy of home ownership. However not everything is a major issue, and you need someone you can trust advising you on what repairs you should ask for and how to negotiate those terms.
Sometimes, there are issues with a home that do necessitate needing to break the contract and move on to find a different home. Again, TRUST THE PROCESS. Take a deep breath.
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How Much Is The Home REALLY Worth?
At this point, you’re getting close to the finish line and owning a home.
Your financing is approved by the bank. Yes!
The seller accepted your offer and we’ve negotiated a fantastic deal for you! Bam!
Your home inspection is scheduled and you’re not expecting any surprises. Great!
NOW, we place our trust in an appraiser to confirm how much the home is worth. The appraiser’s role is to make sure that the price we’ve contracted your home for is ACTUALLY what its worth. If the contract price and what the appraiser comes back with don’t match or are really out of alignment, we may have to make some hard decisions.
Partnering with the right appraiser and realtor through this process is crucial.
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Insurance, Insurance, and More Insurance! My Head Is Spinning!
Title Insurance. Home Insurance. Home Warranties. Driveway insurance.
Kidding. There’s no driveway insurance (who knows, there might be).
Take a deep breath. If you’re hearing these terms, it means you’re getting really close to the closing table. What’s really important is that you’re working with a Real Estate firm that focuses on quality and customer service.
Most agents have preferred vendors that will assist you through the vast ocean of paperwork you will encounter. The paperwork is all about making sure YOU are protected in the Real Estate transaction.
If you have a great relationship with your Real Estate Agent, they will likely refer you to business associates they have done many transactions with. You can always rest assured that you’re not the first person to go through the confusing world of insurance, titles, and paperwork! It’s just part of the process!
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The Closing Table
Behold, The Closing Table! In all its glory! It’s where homeowners past and present have done business for the most important asset in their life!
When it comes to closing, you will be given dates, times, and cost. And it will likely be confirmed 1,000 times prior to showing up and is sometimes moved or pushed back several days or weeks depending on various things.
The closing table can sometimes be intimidating, but I recommend bringing a relaxed attitude to the table. Basically, an attorney is going to carefully review all of the paperwork, your Title Insurance, Home Owners Insurance, and other details. A good closing attorney will explain to you everything you are signing and if you have any questions, just ask!
You will know the exact amount of money you will be required to bring to the closing and there’s almost always a statement sent out (usually via email) prior to the closing so it won’t be the first time you see it.
Time to get your keys…
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Honey, I’m HOME!
This is the magical moment. You’ve been through this very long and emotional journey and now you are the proud owner of your new home.
THIS is the reason I’m in this business: watching you light up and sometimes breathe a sigh of relief at the front of your new home!
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The Most Important Part
Buying a home can be a long, emotional, and very rewarding experience.
What will make the process enjoyable and rewarding is finding the perfect realtor to help you. A realtor will be your guide every step of the way and someone you can call, email, text, high-five, and even cry to.
No one is perfect. No process will be 100% completely smooth. Life happens.
But my mission is to serve you with world class customer service and expert real estate advice. We will never waver from that commitment and you should expect greatness from us.
As you choose a real estate agent, make sure it’s someone who will give you the treatment and attention that you deserve.
