How to Buy a House

How to Buy a House

How to Buy a House
Introduction to How to Buy a House
Before buying a house, it is important to make sure that doing so is the right decision. In most situations, it is more beneficial to buy a home instead of renting, and to do so as soon as it is affordable. However, this does not apply when for individuals who pay low rent, or those who intent to move soon. Before buying a house, it is important to look through the steps of how to buy a house in order to make sure it is the right thing to do.
Here are some helpful steps on how to buy a house.

Step 1 on How to Buy a House
Obtain a copy of a credit report to see where you stand. Work to strengthen your credit record in order to raise your FICO score.

Step 2 on How to Buy a House
Figure out just how much you can afford and what the lender may give to you. You can go visit a bank and talk to a loan officer. There you can fill out a loan application. You can try to get pre-approved for these loans. These applications should be within a two week period in order to minimize the damage to your credit report.

Step 3 on How to Buy a House
Find a real estate agent. Since the seller pays commission, it should not cost you anything. Make sure the agent knows what sort of house you are looking for. 
Instead, you can sign up for a multiple listing service where people attempt to sell their homes without an agent.

Step 4 on How to Buy a House
Ensure that the agent knows as much about the ideal home as you know. This includes what town the home should be in, what type of house is ideal, and how much the bank is willing to loan. Once the agent compiles a list, it is important to look at the homes.

Step 5 on How to Buy a House
After finding a house, obtain Disclosure from the seller.  The seller will provide a list of problems that the seller is aware about, which the seller must give you by law.

Step 6 on How to Buy a House
If the disclosure is okay, discuss with the agent how much of an offer should be made. 

Step 7 on How to Buy a House
Make an offer by signing a contract, which the seller will also accept by signing.  One this step is reached, both the seller and buyer are generally obligated to follow through.

Step 8 on How to Buy a House
Have the house inspected professionally. If anything appears that is not on the list and requires expensive fixes, it may be possible to get the seller to either fix the problems or sell the home at a lower price. 
Step 9 on How to Buy a House
The bank shall then appraise the home to ensure that it is worth the value you are paying. 

Step 10 on How to Buy a House
Obtain an insurance agent to get a quote.  

Step 11 on How to Buy a House
The last step is closing by taking care of the paperwork. 




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