Buying a home in the Orlando area?
Believe it or not, buying a home or other property doesn't have to be a stressful, drawn out process. Whether you’re buying your first home, or you’re a savvy real estate investor buying your thirty-first home, you need a professional who knows the Orlando and Central Florida real estate markets inside and out, and most importantly, knows how to negotiate and handle the real estate transaction on your behalf.
There’s a reason why our clients return to us again and again for their real estate buying needs. They’re confident in our expertise to not only negotiate the best price possible, but to ensure the purchase process and paperwork goes smoothly. Our knowledge of the Orlando real estate market has been gained through years of experience and superior training.
The RE/MAX YourOrlando.com Team meets the high standards of our elite affiliations with:
RE/MAX International, The National Association of Realtors, The Real Estate Buyer’s Council, Certified Distress Property Experts,
The Council of Residential Specialist, The Realtor Institute, and more.
The Home Buying Process
The home buying process - Buying real estate can be a rewarding experience if done properly or quite stressful if you’re not prepared. By knowing what to do and preparing in advance you can make your real estate dreams a reality and avoid the nightmares along the way. Here are some important steps to consider when buying a home or property:
1. Put an expert real estate professional (REALTOR®) on your side.
The first step is to select a Realtor who will help you navigate the buying process. An Expert Realtor can ensure things go smoothly by avoiding most common mistakes. Since Experienced Realtors have been involved in hundreds if not thousands of real estate transactions, they know how to identify and avoid most pitfalls. An experienced Realtor will also know where to find the most desirable properties at the best possible price. They will also be able to provide you with a list of trusted resources and related professionals you may need during the purchase process.
As Award winning RE/MAX agents and ABR, CRS, GRI, Realtors, we at the YourOrlando.com team want to be your Realtor. Please consider putting us to work for you. Since our fee is paid by the seller and FREE to you, you have nothing to loose and everything to gain.
2. Shop for mortgage – Hire a mortgage professional.
The second step is to shop and get prequalified for a mortgage, if needed. As with finding an expert Realtor, an expert mortgage professional can ensure loan related problems are avoided. So many times we see buyers shop the internet for the lowest possible mortgage rate with almost no consideration for anything else. This can have disastrous consequences. Unscrupulous predatory lenders will use low rate bait-and-switch tactics to get you hooked. Once they get your application fee and have you hooked the problems begin. The rate changes, phone calls are not returned, deadlines are missed, you get the idea. Your current bank, credit union, or a national lender are a much better place to start searching for a mortgage. There are few things more stressful than realizing that you have a mortgage person that either doesn’t care or doesn’t know what they are doing when you have a contractual deadline approaching. Your Realtor will do everything possible to ensure you find a lender who will be an asset to your home purchase team, not an obstacle. Your Realtor should have a list of trusted mortgage professionals they have worked with in the past.
3. Get preapproved for a loan or obtain a proof of funds letter.
Now that you have found a mortgage professional it’s time to get your loan preapproved, which determines how much house you can afford. Completing this step allows you to move swiftly with minimal stress when you find the right home, especially when there are other interested buyers competing for the same home. With a preapproval, in most cases you will only need to have an appraisal and survey done on the property to complete the loan process. This will afford you the freedom to focus on inspections and other pressing deadlines once you have found your dream home. It also indicates to the seller that you are serious and really can afford to buy the property.
Note: Ask for a Good Faith Estimate (GFE). The good faith estimate is a detailed estimate of loan cost and what your mortgage payment will be. Your lender is required to provide you with a GFE within a 3 days of making your formal loan application. Your lender will need the following information to complete your loan application and prepare your GFE:
-
borrower's name
-
borrower's monthly income
-
borrower's social security number
-
property address
-
estimate of the value of the property
-
mortgage loan amount sought
-
View a sample HUD approved GFE
4. Define your needs and wants in your property.
This is one of the most fun and worthwhile steps in the home buying process. Creating a wish list of features you need and want of your dream home is invaluable. Without a thought-out plan as to what you need, it is easy to get caught up in the moment and chase the prettiest home at the best price, without considering things that me be more important in the long run, like schools, community, parking or other critical needs. You can refine your list as you begin to see homes and see what the market has to offer. It might be helpful to build your list while viewing some actual homes for sale online.
5. Pick and Visit properties.
Now you're ready to visit homes. You and your Realtor will compile a list of properties of interest. Your Realtor will arrange showings so these properties can be seen in person. This is also a good time to refine your needs and wants list again. Be sure to let your Realtor know if you see something you like or something you don’t. Don’t be shy about expressing your dislikes when viewing a property. This will help you agent zero in on what you want. And if you walk into a house that you just dislike as soon as you walk in, there is no need to waste time, it’s better to turn around a walk out. Your Realtor will appreciate your decisiveness.
6. Know the features that help or hurt resale.
Buying the most expensive home in a community is usually a bad idea. In neighborhoods with two-car attached garages, a single-car or detached garage may impact the home's sale and future value. Your RE/MAX professional can point out features that hurt and those that help resale value.
7. Rate the houses you tour.
After touring each home, write down what you liked and didn't like. Develop a rating system or checklist that will help narrow the field down. For example, pick the house you like best on day one and compare all other houses to it. When you find a better one, use the new favorite as the standard.
8. Make an offer.
Once you've pinpointed your dream house, it's time to get serious about the financial and contractual side of the purchase. Your RE/MAX agent will be a invaluable resource at this stage since you and the seller have different goals.
9. Home inspection.
After your offer is accepted, you will need to complete a home inspection. It's common to find problems, including leaky roofs, cracked walls, insect infestations and foundation problems. Your Realtor can help find a reputable inspector and will help you navigate the inspection process and how to deal with issues once the inspector's report is final. If you negotiate repairs as part of the purchase, you will want to arrange for a re-inspection during the final walk-through inspection before closing of escrow and taking procession of the property. Ask your Realtor about home protection plans, which may save you money for problems that arise in the future.
10. Close.
Before your closing date, make sure you've made all necessary deposits and completed the paperwork - including mortgage, title, homeowners insurance and any other paperwork required by local or state governments. You will need a state issued driver’s license or a passport for international buyers. You should review the HUD-1 settlement prior to closing. The HUD-1 statement will show you how much money you need to bring with you to closing.
11. Prepare for life in your new home.
Before rolling out the welcome mat, consider some moving basics: arranging for an alarm company, turning on electricity, water and gas, cleaning or replacing the carpet, and notifying your local post office of your new address. The best time for renovations is often before you move in.
