The Checklist

Find Out if You Are Ready to Buy a Home

• Have you been continuously employed for the last two years and is your employment likely to continue?
• Do you have a reliable source of income? Can that income be documented?
• Do you have a checking and savings account?
• Do you pay your bills on time and keep records of paying bills regularly?
• Do you make more than the minimum monthly payment on credit card bills?
• Can you manage all of your debt and regular financial obligations?
• Do you have some money saved for a down payment, closing costs, and moving expenses? (FHA requires 3% down)
• Can you afford to pay a mortgage and still pay all your other regular expenses?
• Do you have time to take care of a house and are you willing to do it?
• Do you have the time to look for a house?
• Are you working on resolving past financial difficulties?
• Do you know your credit score? Have you talked to lenders? (We strongly recommend that you shop around for a mortgage, and get pre-approved for your loan).

A “yes” answer to most of the above questions means you are ready to buy a home. If you answered “no” to most questions, you still have some work to do to get ready. Getting pre-approved for your loan is almost essential today. Sellers will be looking for that pre-approval letter with your offer on their home. They do not want to tie up their home with someone who may not be able to finance the purchase. Also, getting pre-approved means you will know exactly what price home you can afford to buy.

When ready follow these ten steps to buying your home:

1. Find a Qualified Buyer’s Representative (Your real estate professional)

2. Determine Your Credit and Finances (Get pre-approved!)

3. Assess Your Wants and Needs (Size of home, sytle, location, etc.)

4. Shop for a Home (Your agent can set up an automatic search for you)

5. Negotiate Terms

6. Obtain a Mortgage

7. Prepare for the Close (Transfer Ownership) – remember, there are closing costs!

8. Close

9. Move

10. Celebrate