The 9 Steps to Home Ownership

Step 1 - Make the Decision to Buy

Needless to say, the first step to buying a house is committing to buy. Purchasing a home is the single biggest financial decision most of us make in our lifetime. It is definitely one that is not to be taken lightly. Consider the reasons you want a new house and write them down. Can you afford a house that will meet your list of requirements? A good rule of thumb is your mortgage payment should not exceed 33% of your monthly income.

Step 2 - Seek Professional Guidance

The agents of National Real Estate are experienced salespersons who are not only technically knowledgeable but also abide by the code of ethics governing the National Association of Realtors. We will gladly help you each step of the way towards your home purchase. We'd like to schedule a time to meet with you to hear the reasons you want to buy a house and your plans for the future. We'll talk about neighborhoods, schools, economic factors that will likely affect the market today and tomorrow as well as how you would like your house and neighborhood to grow with you.

Step 3 - Get Pre-Approved

At this time, we can also help you obtain a pre-approved loan. NRE is proudly affiliated with National Mortgage, a mortgage brokerage firm that effectively serves as your portal to many lenders. National Mortgage can ascertain the best loan program that fits your needs. A pre-approved loan is a commitment from a lender indicating that you are approved for a certain loan amount for a specified loan program and interest rate. Getting pre-approved takes away the guesswork in how much of a house you can afford. It also serves as a powerful negotiating tool when we put-in our sales offer.

Step 4 - Begin the Hunt

After our initial meeting and obtaining a pre-approved loan, we'll search all our resources for houses on the market that fit your criteria. We'll preview these houses to identify those that best suit you. We'll then schedule appointments to tour the houses at times convenient to you.

As we tour houses, we'll point out the property's positive and negative features. We'll ask you to tell us what features appeals to you and what don't. You'll probably amend your "wish list" as we tour houses since some features will become more important and others less important. Armed with this new information, we'll refine our search criteria to narrow down the features of your dreamhome.

Step 5 - Know the Market

Many variables affect the real estate market. Our knowledge of the local market is a critical factor in your house search. We'll let you know when the market in a particular neighborhood is "hot" and requires immediate action. Or when the market is "cool" and allows for more thoughtful consideration.

As we tour houses, we'll let you know when the asking price has negotiating room and when the house is "priced to sell." We have access to the latest local market development that will help you arrive at a truly informed decision. Our objective is to keep you a step ahead.

The real estate market is generally described as either a seller's or buyer's market. In a "seller's market", it is not unusual to see multiple offers on a property often at full-price and even above-price offers. On the other hand, there are more houses for sale than buyers in a "buyer's market." This allows us more negotiating room -- lower price, seller credits, etc. -- as houses are taking longer to sell.

Step 6 - Find Your Dream House

National Real Estate is confident we'll find your dream house. When we do, we'll put together the purchase offer tailored for your needs including appropriate contingencies such as obtaining financing, favorable home inspection and clear title.

The offer is normally presented with an "earnest money." This is a cash or check deposit made to a home seller to secure an offer to buy the property. The amount of course is applied to closing costs. If the seller accepts the offer, the close of escrow is generally withn 30 - 45 days.

Step 7 - Negotiate the Deal

Details, details! It is not uncommon to receive a counter offer when our purchase offer is submitted. Don't let this discourage you. We will discuss the appropriate counter offer and decide whether to accept or reject the seller's counter offer and move on.

The ever-changing market conditions will play a role in how we negotiate the deal. We will also work within your limits. This is a good time as any to have an objective salesperson at your side. Emotions can lead to buyer's remorse. It is better to set limits prior to negotiating an offer and stick to these limits.

Step 8 - Get a Loan

Once we obtain a ratified contract, we will coordinate with National Mortgage or the mortgage lender of your choice in getting final loan approval. At this time, the lender will be reviewing many loan conditions such as the title, termite and property inspection reports. We'll gather the necessary property information your lender will need to close the loan. Since you are already pre-approved for the loan before starting your home search, we expect you to be that much nearer to closing escrow.

Step 9 - Close the Deal and Move In!

Once loan conditions are satisfied, your loan documents are drawn by the title company for your appropriate signature(s). Then after final review by the lender.....Home, Sweet Home! Congratulations! It's time to move into your new house and make it your home. Enjoy this exciting time! We'll gladly give you a checklist to help you remember the numerous details that will make your moving day a pleasure.

At this juncture, we cannot emphasize enough that our service has just began. Feel welcome to contact us -- as we will from time to time -- should there be anything we need to do for you.