The Home Buying Process
Step 1: Meet with a Jamison Company Real Estate AgentWhen you meet with your agent you will also review the state required real estate paperwork and representation guidelines. Each Real Estate Agency offers different types of agent contracts with their clients. This will be reviewed and explained in further detail at your meeting.
Step 2: Getting your Financing in OrderDo you know how much house you can afford? Before you invest time, energy and emotion into finding a new home it’s important to get pre-approved by your lender. During this process don’t change jobs, make major purchases or have unnecessary credit checks, these can all effect a timely closing. Your mortgage lender may pull another credit report a few days or even the day of your closing, and you don’t want any last minute surprises.
Step 3: Determine Your Needs vs. Your WantsFinding a home can be an enjoyable experience. What type of property do you need, such as single family, twin or town home? Do you have a specific area of town you want to live in? This will determine your school district and property taxes. How many bedrooms, bathrooms and square footage do you require? Your agent will help you differentiate between what you need and what you want and how it works within your budget.
Step 4: Start Searching for a HomeAfter your meeting, your agent may send links to options or even generate a personalized webpage for you. This webpage will generate listings for you to review which homes meet your criteria. Once you narrow your search, your agent can schedule the showings.
Step 5: Making an OfferDeciding whether or not you want to buy a house involves a look at its structure and its features, as well as many other points which are every bit as important to your purchase. For example, the home’s resale potential or improvements necessary for you. The time of year can even impact how strong an offer you should present. Your agent will prepare a Brokers Price Option based on all the relevant criteria and help you present the offer that’s best for you. Often a real estate transaction will have continued negotiations, concerning the price and terms, between the buyer and seller. Offers are expected to include earnest money. You should be prepared to write a check to accompany your offer.
Step 7: Home Inspections and Other TestsIn South Dakota, inspections take place after an agreeable price and terms have been reached. Talk with your real estate agent to decide which inspection and tests are important for your purchase.
Step 8: Getting Ready to CloseMost pre-closing tasks will be taking place behind the scenes and involve your real estate agent, the title company and your bank. Any cash gifts you receive will likely require a gift letter and some proof (usually a bank statement) that the gifter has the money to give. An appraisal, title search and closing disclosure will be generated. You should arrange for the transfer of utilities and mail forwarding. You're on your way to closing, also called settlement, the event that transfers ownership of the property to you.
Step 9: ClosingThe settlement or closing will require a great deal of paperwork and proof of identity. Please come with your driver’s license, a second form of identity, and a cashier’s check in the amount specified on the Closing Disclosure. Title companies do not accept personal checks. Depending on the complexity of your loan the closing may take up to one hour. Here you will receive the keys to your new home.
Congratulations you are a home owner!