The Homebuying Timeline
From planning to closing, these are some of the steps you'll need to take to purchase your next home.
Find the Right Agent
Finding a real estate agent that you trust and feel comfortable with is as hard as finding the right house to call a home! Make sure that your agent is as invested in your happiness as you are and they are an Accredited Buyer's Representative!
Figure Out Financing
Ask your agent to connect you with their favorite lender so you can bring your full financial picture together. You can't look for homes or make offers if you don't know what you can afford or how much it'll cost.
Know the Costs of Buying
The sale price is just one part of your purchase, you will also need to plan for the rest.
Contract Deposits: Up to 5% of the purchase price (goes towards your purchase)
Home Inspection: $500 - $1000
Down-Payment: 3.5-20% of the purchase price
Closing Costs: 1-3% of the purchase price
Moving Expenses: $1000 - $5,000
Searching for a Home
Work with your agent to create a search pattern and go out and see homes with them - don't go alone! Learn your likes and dislikes and prepare to make an offer. Your best bet is to have a consultation with an experienced agent before you get started!
Go Under Contract
It could take one weekend of open houses or three months but once you find the one and get your offer accepted, with the help of a Real Estate Negotiation Expert, the timeline will look something like this:
Due Diligence Period (0-14 Days): Any inspections, tests or further research must be done during this time before you sign Purchase & Sale (P&S).
Loan Commitment (10-30 days): Once P&S is signed, it's mostly a waiting game until your lender approves your loan application.
Closing (3+ days after commitment): Take your closing day off! You need to walk through the property then sign paperwork at your closing attorney's office in person.
There is no such thing as a typical purchase in real estate but if things go smoothly and you work with a great lender, you can go from accepted offer to closing in 10-45 days in most situations.
Plan for Your Move
Closing date can change so have a backup plan in case of a change in closing date; generally it's very wise to avoid moving in and out on the same day. It's worth paying an extra month's rent to move out slowly and it gives you time to clean your new place while it's empty!
On the day of closing, be sure to call and update all the utilities for the home so they know you've taken over the property; water, electricity, gas and internet.
Closing
I hope you took the day off and be sure to bring your photo ID, final payment and any other documents required by the closing attorney to the closing.
