The Step-by-Step Guide to Buying a Home in Houston
Welcome to Nest Builders Collective! If you’re considering buying a home in Houston, we’re here to guide you through the exciting process. As experienced Realtors®, we understand that purchasing a home involves numerous important steps. In this comprehensive guide, we’ll walk you through each stage of the home-buying journey to ensure a smooth and successful experience. If you need any additional assistance with buying or selling a home in the Houston area, our team is ready to help. To get started, we invite you to schedule a Clarity Call with us to discuss your needs and timeline.
Schedule a Clarity Call with Nest Builders Collective The first step in your home buying journey is to schedule a Clarity Call with our team at Nest Builders Collective. This call provides an opportunity for us to understand your unique needs, preferences, and desired timeline. By discussing your goals and answering any questions you may have, we can ensure that our services are tailored to your specific requirements.
Pre-Approval
Pre-Approval and Communicating with Your Agent Following the Clarity Call, we’ll guide you through the process of speaking with a mortgage lender and obtaining pre-approval. This step is crucial as it provides a clear understanding of your budget and allows us to show you homes that align with your financial range. Sellers often require a mortgage pre-approval letter or proof of funds statement before considering offers.
Initial Consultation
Once you’re pre-approved, we’ll schedule an initial consultation to further address your questions and concerns. During this meeting, we’ll build a strong rapport and establish the parameters of your home search. We’ll also review the process of purchasing a home, ensuring that you feel comfortable and well-informed every step of the way. Based on our discussion, we’ll begin emailing you a curated list of homes for sale that meet your criteria.
- Reviewing Agency Disclosure Agency disclosure is an important form that outlines the various real estate relationships relevant to you. It ensures transparency and clarifies our duties and obligations as Realtors® throughout the buying process. We’ll provide you with this disclosure to review and address any questions or concerns you may have.
Home Search
Once we’ve established your criteria, we’ll set you up on a customized property search, and schedule home tours to physically visit properties that match your preferences. This hands-on experience allows you to assess if a home is the right fit for you and helps narrow down your selection. It’s also an excellent opportunity to ask questions about the property and seek guidance from your agent. On average, buyers visit approximately 7-12 homes before making a purchase decision.
- After touring various properties, you’ll reach a point where you find the perfect home that meets your needs and captures your heart. At this stage, having an experienced and ethical agent by your side is crucial as we navigate the negotiation process and work to secure a favorable deal.
- As part of the purchasing process, sellers are legally obligated to disclose relevant information about the property. The disclosure statement provides insights into various aspects of the property’s condition. While this information is valuable, it’s important to supplement it with a professional home inspection.
Make an offer
Collaborating with your Nest Builder Collective Buyers Agent, we’ll craft a comprehensive purchase agreement that outlines the terms and conditions of your offer. Key elements include the offer amount, earnest money deposit, inspection/due diligence timeline, closing timeline, and concessions (if applicable). We can complete this step in person or electronically for your convenience.
- Once your offer is submitted, we’ll represent your best interests during the negotiation process. Our fiduciary duty is to you, and we’ll work diligently to secure the most favorable terms and conditions. Negotiations may involve multiple counteroffers before reaching an agreement.
- When both parties reach a mutual agreement, any necessary changes to the purchase agreement will be made, and the final version will be signed by all involved parties.
Due Diligence Period
Within the specified timeline in the purchase agreement, you’ll arrange a home inspection with a licensed inspector. This step allows you to uncover any potential issues and negotiate repairs or concessions with the seller, ensuring a well-informed decision.
Financing Due Diligence
- Start sending transaction documents to Your lender to initiate the loan process, we’ll send all relevant paperwork to your loan officer. They will review and administer your loan application, working towards its approval.
- The mortgage company will order an appraisal to assess the property’s value. This step typically takes place after the home inspection and the resolution of any identified issues. Should the appraisal amount fall below the purchase price, further negotiation may be necessary.
- During this stage, an underwriter evaluates your risk profile by considering factors such as your ability to repay the mortgage, your credit history, and the property’s value. It’s essential to consult your lender before making significant purchases that could affect your loan approval.
Loan Commitment Approval Once your mortgage is approved, you’ve successfully cleared a major hurdle in the home-buying process. Congratulations!
Clear to Close
Contact the relevant gas and electric companies to transfer utilities prior to closing. Water billing is typically addressed differently, but we’ll ensure that a final water read is conducted on the day of closing or occupancy turnover.
A say Before Closing While we’ll review the closing papers, it’s equally important for you to examine them for any errors. Verify the accuracy of your personal information, including your name, social security number, and closing figures.
Just before closing, conduct a final walk-through of the property to ensure that the agreed-upon conditions have been met and that no unexpected changes have occurred.
The Closing at the Title Company! You’re officially a homeowner!
