First Time Home Buyer Steps: A Guide on How to Buy a House (Yes, It's Free!)
Ready to become a homeowner in 2024?
If you’ve been thinking about becoming a homeowner, but aren’t sure if you’re prepared, you’ve come to the right place. This year, numerous individuals are aspiring to achieve the significant milestone of purchasing a home they can call their very own. Accomplishing this goal includes saving for a down payment, evaluating various mortgage options, and pinpointing the perfect home that aligns with your desires.
While it may seem like a tough process for first-time home buyers, the prospect of homeownership IS very exciting! Yes, it can also be filled with complexities as you embark on the journey for the very first time. Yet, have no fear! I am committed to help guide you and make the process easy and effortless.
First Time Home Buyers Guide 2024
Below you’ll find some basic home buying steps to help in your journey. Receive the FULL BUYER’S GUIDE (free) - in much more detail (via PDF) here - or towards the bottom of this blog post. Be sure you go get that!
Step One: Assess Your Finances
Check Your Credit Score: Review your credit score and financial situation to understand how much you can afford to borrow. Ideally you should have a good/excellent score and a good history – no missed payments.
Gather Your down payment: You’ll want to have at least 20% of the home's purchase price to secure a better mortgage deal. (The FULL BUYERS GUIDE will break down different types of loans)
Gather Financial Documents: Recent Pay Stubs, Last two years of tax returns, bank statements, proof of assets (investments, savings), Debt Statements (Student loans, car loans)
Step Two: Get Pre-Approved For A Mortgage / Speak to a Lender
Before you begin your home search, you will want to know exactly how much home you can afford or how much you want to spend on a monthly payment. This will depend on what you are approved for. Getting pre-approved will not only help you understand your budget but will also make you a more attractive buyer to sellers.
Choosing a realtor's preferred lender in a home buying transaction is important for a few key reasons:
Smooth Process: The realtor and preferred lender have a good working relationship, making communication and coordination smoother.
Timely Transactions: Preferred lenders are chosen for their ability to close deals quickly, which is beneficial if you're working with tight timelines.
Local Expertise: Realtors' preferred lenders understand the local market well, helping you navigate specific challenges unique to the area.
Trust and Accountability: A recommended lender is likely to prioritize customer satisfaction, giving you confidence in the process.
Potential Benefits: You might enjoy perks like discounted fees or special financing options when using a realtor's preferred lender.
Coordination: The collaboration between the realtor and lender ensures everyone is on the same page, reducing the chance of misunderstandings.
Be sure and shop around for lenders. Don’t settle for the first offer you receive. Read online reviews, ask for recommendations, and get quotes from multiple lenders to find the best rates and terms.
If you need help finding a lender, reach out to me directly and I can link you with our reputable and wonderful lenders that we work with.
Step Three: Make Your List of Must-Haves
What is most important when it comes to your future new home and what areas are you willing to compromise on? Decide what these are and write them down.
Location: Do your research, look at different areas and what’s available at what price in each one. Consider your lifestyle needs, such as proximity to parks, shopping, and public transportation.
Neighborhoods: Explore different neighborhoods, property types, and prices to narrow down your preferences. Knowing what other properties have sold for or are listed for can help guide you when it comes to making an offer.
List of Must-Haves: Identify essential features like the number of bedrooms, bathrooms, square feet, lot size, year built, Home Owner Association (HOA)
Step Four: Have a Real Estate Agent Setup A Personalized Home Search
Your agent, as a real estate professional, will have access to the local MLS (Multiple Listing Service).
This service acts as an aggregator of available properties, and it isn’t readily available to the public.
The MLS will detail a property’s features, its current status (such as whether it’s just listed or under contract) as well as its market history.
Using your criteria, your agent can automate search results so that you’ll be alerted when property matches arrive on the market
If you are looking for a home in the Simi Valley area to match your unique needs and desires, then head over to my Personalized Home Search - and fill out the form. From there, I’ll set up your home search requirements so that you’re notified immediately when a home hits the market and matches your criteria. This is complimentary.
Given the current landscape of the housing market, conducting thorough research and seeking guidance from experienced real estate professionals are imperative steps towards a successful new home purchase. The legal, financing, and regulatory aspects of real estate transactions are very involved. To provide as much protection as possible for you, it’s wise to find a licensed real estate agent. A great agent will serve as an advocate for you and your interests throughout the entirety of the homebuying process.
Want to work with me directly? You call, I answer!
I am a firm believer in choosing an agent who works for you and with you. When working with you as your buyers agent, I know that truly listening to your wants and needs is the biggest piece of the puzzle. I’ll always be honest and direct with you and only take on the project if I feel confident, we can help you reach your goals.
See What Others Are Saying About Working With Susan
Step Five: Start House Hunting
Select Your Agent: If you haven’t already chosen me - I recommend asking around for referrals. You’ll want an experienced agent who knows the local market, understands your needs, communicates well and has great reviews.
Tour Homes: Attend open houses and schedule viewings. As you and your agent move through the home-viewing phase of your homebuying journey, don’t be afraid to ask to look at any house that you think could be a match for your criteria. Most importantly, don’t forget that you created your criteria for a reason: to help you get what you want.
Step Six: Make An Offer
Once you've found a home that you've fallen in love with, it's time to make an offer.
Write an Offer: Work with your agent to make a competitive offer that suits your budget. It is important that your offer contain all requirements as there will be no going back to make changes. Once an offer is accepted, it is signed and legally binding.
Present the Offer: Your agent submits the offer to the seller. Be prepared for negotiations. Your agent will communicate with the seller’s agent to finalize the terms. If the seller counters, decide if you can adjust your terms or price.
Step Seven: Close On Your New Home
Finalize Your Mortgage: Work closely with your lender, agent, and legal team to finalize the paperwork and complete the purchase and any outstanding tasks.
Conduct A Final Walk-Through: Ensure the home is in the same condition as when you made your offer. Verify that any agreed-upon repairs are completed.
Sign the Paperwork: Sign all required documents, including the mortgage agreement and deed. Bring a valid ID and certified funds for closing costs and any remaining down payment.
Step Eight: Move In and Celebrate!
Once the deal is closed, it's time to move into your new home and start making lasting memories!
GET THE FULL BUYERS GUIDE HERE
While this blog post is geared towards Home Buyers, I’d like to add that we have designed a SELLERS GUIDE, too. Get the Sellers Guide Here!
Need More Free Resources?
BONUS: HOME FEATURES CHECKLIST (FREE DOWNLOAD)
Join our Subscribers Hub where you’ll find free printables for buyers, sellers, and realtors. After you subscribe below, you’ll receive a password for access. I have included a BONUS DOWNLOAD (a NEW HOME FEATURES CHECKLIST) that you can go grab right now at the HUB:
If you have any questions regarding the home buyers process, reach out to me here. If you are local or thinking about moving to the Ventura County area, I’d love to meet over coffee.
It is my commitment to provide you with reliable, professional and courteous service to help you understand and feel comfortable throughout the home buying process.
So, are you looking to buy your first home in 2024? Let me know in the comments!
-Susan
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Designer | Stylist | REALTOR
Susan Ashouri is founder of Livin With Susan and SugarPartiesLA. When she’s not working, you'll find her cherishing moments with her loved ones, getting creative with design, and sipping on refreshing iced coffees.
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