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The
home buying process can seem and often is complicated, but if you
take things step-by-step, you will be one step closer to owning
your home. Patience.
Here are some steps to take if you are looking to purchase a home.
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Figure out how much you can afford
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Know your rights
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Shop for a loan
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Learn about home
buying programs
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Shop for a home
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Make an offer
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Get a home inspection
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Shop for homeowners insurance
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Sign papers
Books
on the Home Buying Process
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STEP
1: FIGURE OUT HOW MUCH HOME YOU CAN AFFORD
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What you can afford depends on your income, credit
rating, monthly expenses, down payment and interest rate.
The calculators below can help, but it is best to
visit a lender to find out for sure.
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How
much home can you afford?
See our calculators.
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Buying
vs. Renting-
See our Buy vs. Rent Guide.
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Home
buying
programs in your state
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A
housing counselor can help you figure out how to manage and
pay off your debt, and start saving for that down payment. Find
a housing counselor near you.
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Search Home
Resources |
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STEP 2: KNOW YOUR RIGHTS |
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Fair
Housing: Equal Opportunity for All
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Real
Estate Settlement Procedures Act (RESPA)
See our Guide
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Borrower's
rights
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Predatory
lending
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| STEP 3:
SHOP FOR A LOAN - MORTGAGE OR HOME EQUITY |
| Save
money by doing your homework. |
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You
will save thousands up-front and over the life of your
loan. |
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Looking
for the best mortgage: shop, compare, negotiate -
brochure
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Let
FHA help you
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Why
Ask for an FHA Loan?
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Step 4: LEARN ABOUT HOME BUYING PROGRAMS
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Home buying
programs in your state |
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FHA loan programs offer lower down payments and are a good
option for first-time homebuyers.
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HUD's
special home
buying programs
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Good
Neighbor Next Door Program - for police
officers, teachers, firefighters and emergency
medical technicians |
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Homeownership
for public housing residents |
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Indian
Home Loan Guarantee Program (Section 184) |
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STEP 5: SHOP FOR A HOME
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Choose
a real estate agent |
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Wish
list - what features do you want? |
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Home-shopping
checklist – take this list with you when comparing homes |
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Homes
for sale (including HUD homes) |
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"Fixer-uppers"
- home purchase and repair programs |
If you choose a home in a neighborhood with a Home Owners
Association (HOA), be sure to request a copy of the HOA packet, so
you can review before closing.
STEP
7: THE OFFER:
Discuss the process with your real estate agent. If the seller
counters your offer, you may need to negotiate until you both
agree to the terms of the sale.
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Making
an offer
(new) |
Step 7: GET A HOME INSPECTION - Make your offer contingent on a home inspection. An inspection
will tell you about the condition of the home, and can help you
avoid buying a home that needs major repairs.
Step 8: Shop for homeowners insurance
Lenders require that you have homeowners
insurance. Be sure to
shop around. You can save hundreds of dollars per month
when you shop. Read more in our guide below or click here for Homeowner
Insurance Quotes
STEP
9: SIGN THE PAPERS
You're finally ready to go to "settlement" or
"closing." Be sure to read everything before you sign
along with your
lawyer !
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Settlement
Costs and Helpful Information |
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