Making a Home Buying Decision

By: Rod Khleif

Buying a home is one of the important financial and lifestyle decisions that you make. The experience of home buying process depends entirely on how well you are prepared for making various decisions. Most home purchasers do less or no research before they buy a home, which result in making inadequate decisions and may cause different affects to the buyer.

Steps involved in buying a home

The following are the major steps involved in making the decisions of buying a home:

?Get a pre-approval:
Pre-approved homebuyers get preferential treatment, while negotiating home purchases. It provides a reality check prior to mapping out your life in a home that you cannot afford.

?Selecting a Realtor:
Realtors are the key to your findings about what you want to buy and in which area and at what price. Once you select someone you feel good about working with, sign them up as a buyers' agent.

?Select a home:
Limit the number of homes you're looking at. It is better to narrow down the properties after each visit. Once you have short listed your search to one or two homes, your agent will do all the research required in decision making. Agents will analysis the selected home determining Fair Market Value of the home, by comparing with the similar one in the same neighborhood or area.

?Making an offer & negotiation:
When making an offer on a property, it is important to decide how much you are willing to pay and at what terms. You have to decide the offer price the deposit you will offer, when you plan to close and what inspections you plan to have conducted, everything should be negotiated.

?Inspections and Contingencies:
Having the home inspection done is a necessary process to ensure that your new home is free from defects that could cost you thousands of dollars later to repair. Home inspections reveal the problems and enable to correct them before agreeing to purchase the home. This is known as a contingency. It is important to meet all deadlines and that all contingencies are met exactly the way they offer.

?Select an attorney:
The contract of sales will decide who gets to choose the attorney to represent the sale. This is normally the buyer's decision. If you do not have an attorney, your agent can help you find them at a reasonable price. It is important to note that the attorney represent the transaction itself, not a buyer or seller.

?Walk through:
It is a final chance to correct the problems through the seller. In case of new home, a 'punch-out list' is prepared to get everything completed and finish any minor items found incomplete.

?Closing on your home:
This will be on the day when you sign on the documents of the property. Until you understand all the documents clearly you shouldn't sign them. If required the lawyer, conducting the settlement will explain every document to you in a satisfactory manner.

These steps make things easier for the homebuyers and ensure a smooth transaction by providing the information they need to make a wise home buying decision.

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