If you’re looking to buy a home for the first time in Denver or on the Front Range, there are a variety of ways you can go about your search. You can browse homes on the internet and take virtual tours, you can visit open houses, and you can even tour model homes.
With so many options, how do you know which one is the best? Now that we’ve covered mortgage basics and the mortgage process, it’s time to learn more about the home-hunting process. Continue reading for more information, and contact us today to set up an appointment with one of our real estate agents.
Hire A Real Estate Agent
Without any knowledge about buying a home or even where the market is at, it can be difficult to hunt for a home by yourself — so don’t! Hiring a real estate agent gives you a valuable resource to learn more about contract negotiations, financing, home inspections, closing costs, and other parts of the home-buying process.
At Susan Thompson Real Estate, we offer some of the best insider knowledge about Denver and the Front Range so you can find the best house for your lifestyle. We’re from the area so we know it best! Get in touch today to set up an appointment.
Make An Offer
Once you and your real estate agent have found the perfect home for you, it’s time to make an offer. Regardless of how the market is behaving, it’s best not to wait to make an offer so you don’t accidentally get beat out by another buyer by waiting too long. You’ll work with your real estate agent to figure out the value of the home you’re interested in and submitting an official offer.
Depending on the market, you may have to adjust your bid or negotiate the offer. Some things to keep in mind when making an offer on a house are:
- How long the house has been on the market
- The overall condition of the house
- The condition of the buying market
- Whether or not there are already offers on the house
These factors can drive the selling point of the property up or down significantly, so make sure you understand all the factors before deciding if this is the best house for you financially.
Before you submit an offer, your real estate agent should also look at “comparables” or “comps” of homes that have recently sold in the neighborhood. This will give them a better idea of the fair market value of the home. After that, you and your real estate agent will decide on an offer price and formally submit it to the selling agent.
Your Pre-Closing Checklist
If your offer is accepted by the buyer, it’s time to go through your pre-closing checklist with your real estate agent. You’re not home-free yet, but you’re getting close!
If you’ve been pre-approved for a mortgage, pre-closing is when you’ll need to contact your lender and let them know you’re under contract to purchase a home. At this point, the lender will update your application and finalize your loan.
Pay Earnest Money
“Earnest money” is similar to a down payment, but it’s paid directly to the seller to show that you are serious about purchasing their home. Earnest money is somewhere around $500–$1,000 and it will be applied to the final purchasing price.
Get An Appraisal
Your mortgage lender will hire a real estate appraiser to assess the fair market value of the home based on several factors such as:
- Properties recently sold in the neighborhood
- The value of the land
- What it would cost to build a home at a similar size
The appraisal will contain detailed information about the property itself, as well as the neighborhood where it’s located.
Have The Home Inspected
Your real estate agent can recommend a home inspector they trust. This is an important part of the pre-closing process because an inspection uncovers any issues with the home. At this point, you can ask the buyer to make repairs if there is anything seriously wrong.
Close On The Contract
Once all of the pre-closing requirements have been met, it’s time to close on your new home. Your real estate agent and mortgage lender will help you through this final stage to review fees, closing costs, and carefully going over all of the documents.
Find the home of your dreams today in Denver with the help of Susan Thompson Real Estate. Contact us today to get started.