8 Steps to Buying a Home: How-To Guide
Buying your first home is one of the most exciting and memorable times in life. It can also be stressful and overwhelming to figure out how to make it happen. The Chicago real estate market is competitive, so having the right Chicago realtor is key. This blog post will walk you through the process of buying and all 8 steps that are required in order to buy your first home!
Step One: Choose a Real Estate Agent
The first step to buying your first home is choosing the right real estate agent or broker. If you have never bought a house before then it’s important that you work with someone who has experience in working with first-time homebuyers and will be able to answer all of your questions along the way.
I have been in the business for more than 14 years, and you can read all about my background on my about page.
Step Two: Get Pre-Approved for a Mortgage
After you have found an agent to work with, the next step is getting pre-approved for your first mortgage. Your agent can recommend a few lenders for you to contact.
In your pre-approval, your credit score and the purchase price of the home are considered, but your lender can explain all of that to you in detail.
Step Three: Create a Wish List
Creating your first house wish list is important because it will help you narrow down what features, amenities, and size of home that you are looking for in your first-time purchase.
Part of your wish list should include things such as location, number of bedrooms, bathrooms, etc. If you have children you’ll likely want to include a school district in your wish list as well. Plus, if you're in Chicago, consider a school expert to help you navigate the right plan for your family. I highly recommend Chicago School GPS.
Step Four: Find Your Home
After settling on key criteria, like what type of home and neighborhood you want, it’s time to find the right fit! Use your agent or broker to help narrow down homes for sale in your desired location.
You can do this by setting up custom alerts for homes that meet your search criteria and saving them to a list so you don’t miss out on any new listings as they come on the market!
Zenlist is a great resource for finding properties. In order to have access to Zenlist, you must operate through your Realtor, so be sure to ask.
Let the fun begin… It's time to tour homes! Typically your Realtor will schedule a time with you to tour multiple homes, but with the fast pace of the market sometimes it’s necessary to get into one home right away. Visiting open houses is also a good option too!
Step Five: Make an Offer
Once you have found the perfect first home, it’s time to make an offer! Your agent will help walk you through what needs to happen next in order for your offer to be accepted.
There are many factors that go into a competitive offer including price, closing date, and time frame for meeting certain contingencies.
When you work with an experienced Realtor in the location you desire, they will know what it takes to win. After more than a decade in the business, I am always brainstorming creative offers to beat the competition.
Step Six: Negotiate Counter Offers
If the first offer is not accepted, then it’s time for counteroffers! The best way to negotiate a counter offer is by turning the situation into a win-win for both parties instead of creating a hostile environment.
This is where having an experienced Realtor is a major plus. With more than 14 years of experience, I know many of the other agents in Chicago and can help to negotiate on your behalf. Every seller is motivated by a different set of criteria. By asking the right questions, we can construct the right counter offer.
Step Seven: Contract to Closing
Before you can close on your first home, it’s important that you understand the contract and process. Make sure all terms in this agreement are clear and concise so there is no confusion down the line. Your dream team (Realtor, attorney, and lender) will guide you every step of the way until closing including being hands-on for the home inspection, attorney review period and mortgage approval, and final walkthrough.
Step Eight: Closing
Finally, after all of the hard work and time spent looking for your first home, it’s time to close! Make sure you arrive at closing on time with all necessary documents and any payments in hand so everything goes smoothly. Your attorney and lender will be of extra help during this step. Once the closing is complete and funded, you are a first-time homeowner! Congratulations!
Happy house hunting! If you’re ready to get started, contact me so my team and I can help you!
