buyers

Below is a list we have prepared to help make you comfortable with the home buying process. After all, this is an exciting time in your life, and you deserve an enjoyable experience. We recommend you read through our checklist, then call us for more information. Please keep in mind, purchase transactions can vary and 'typical' road map should help you understand what to expect during the home buying process . 

We are professional licensed REALTORS®  eager to assist you realize your real estate goals. As a client of South Houston Living, during your home buying journey you will have access to our vetted vendors such as title companies, home inspectors, insurance companies, contractors, etc. Our REALTORS® will be able to assist with making informed recommendations you can trust more than an online review. It’s VERY rare for a home buyer to navigate the home buying process without a real estate agent. And REALTORS® are paid out of the proceeds of the sale, so you don’t have to worry about REALTOR® fees.

The pre-approval process is an integral part of the starting the home buying process and it will tell you how much home you can afford, give you the power to negotiate and make a strong offer,  showing home sellers that you're a qualified buyer.   

Before you apply for your home loan, it is a good idea to check your credit report and review  the accuracy of your standing with past and current creditors. You can do this for free using www.annualcreditreport.com, This step can prove valuable should you need to dispute any inaccuracies. The goal is to ensure your credit report is accurate, up to date, and reflect positively on you.  Below is a FREE downloadable template you can personalize when disputing items on your credit report.

Pre-approval means a lender has given you a rough idea of whether you’ll be approved and approximately how much you can afford to borrow. Upon pre-approval, your lender will give you a pre-approval letter to submit with your offer to purchase a home, however, it doesn’t mean you have to borrow from that particular lender. 

There are different types of home loans available so get help from your loan officer with understanding what your best option to fit your needs.  

Once you have your pre-approval letter, you can start looking for a home without being in danger of overspended not to borrow the maximum amount you are qualified for in order to live within your means...... only borrow what you can comfortably afford.

Tip: Do NOT finance anything, allow anyone to pull your credit (other than your loan officer) or spend any significant amount of money until you receive your keys to your new home. This could impact your eligibility to qualify for your mortgage, lower your credit score or increase your debt ratios. 

Most home searches begin online, however, for the most accurate information, I suggest you use the local Multiple Listing Service (MLS) where local licensed realtors submit timely updates regarding the status of their homes for sale. These updates usually include price and if the home has an offer to purchase.  Your online search will assist you with to determining what homes are available in your price range in your desired location. We will also send you a branded app to keep our communications updated daily.

We suggest you drive through areas that interest you in order to spot 'For Sale' signs and to get a feel for different neighborhoods. When visiting your preferred neighborhoods, consider doing so at different times on different days of the week to observe patterns of noise and traffic.

Should you require statistics on neighborhoods, schools, and other demographic information we able to tailor a report to help you determine a home or neighborhood is best for you. 

Take your time. Carefully examine both the interior and exterior of each home. You may want to visit more than once if you're seriously interested. We will assist you by providing a list of comparable homes, with a similar price, in the surrounding area. 

Tip: If the market is competitive, be prepared to act fast. A pre-approval will give you the ability to make an offer on the home you want and shows the seller you're financially able to buy the home — and that can give you an advantage over other buyers!

Before deciding on the amount of your offer, consider important factors such as the condition of the home, the competitiveness of the local marketplace, inspections, time restrictions and more.

Consult with your  REALTOR®  for professional input on determining the amount of your offer.

As part of your offer we will build in time for a home inspection and outline any actions to be taken if problems arise.

You will have time to fully consider purchasing your home while under contract. As part of responsibility as your REALTOR®, we will ensure you to negotiate an option period to address all of your concerns and protect your earnest money.  For more details about the option period, please download the  Option Period Explained provided below in the Downloads section.

Earnest money is a form of security deposit to demonstrate that the you are serious and willing to demonstrate good faith to carry out what you have committed to in the contract. The earnest money check will be delivered to the title company within 3 days of signing your contract. These funds will be credited back to you the day of closing which can use towards your down payment or closing cost. 

With earnest money, the buyer is showing the seller that they are serious about buying the home. The earnest payments are protection for the seller so that a buyer cannot just walk from a sale on a whim. The last thing a seller wants is to feel uneasy that a buyer could be out shopping for something better to come along.

By having earnest money, the seller would be compensated in the event the buyer decided not to purchase without a legitimate reason outlined in the real estate contract. Another way to think of these escrow funds is insurance in the event a Buyer defaults.

Tip: Always check with your real estate agent before making an offer — it may be legally binding. Working with a licensed Real Estate agent may be beneficial and make the process smoother.

After all parties agree on a price and other contract details, you will need to communicate further with your loan officer/mortgage company regarding the property you have selected. At this point  your mortgage consultant will request the property address and will likely ask for a copy of the contract to ensure they have all dates and agreed upon price and seller contributions (if any). 

Your mortgage consultant will explain your options for rates, terms, points and other details about loan programs you may qualify for. Once you feel confident you have the best rate and  will require you provide and sign any necessary documents to complete your application.

While you are under contract and during the negotiated option period, you will contact a certified, professional home inspector and schedule your home inspection to understand the current condition of the home you want to purchase.  You will want to know if there are any concerns about the property before you move forward, and your lender will not approve a mortgage unless they know the property is sound. Afterwards, you will review and discuss your home inspection report with your inspector, walk the property and schedule a contractor/professional to further understand any concerns raised in your report. 

Home inspections reports tend to be lengthy, however, the primary focus should be on structural soundness (roof and foundation) and ensuring your home systems (HVAC, electrical and plumbing) are functioning properly. Cosmetic preferences such as paint, hardware and style are part of purchasing a resale property. Should you wish to have the latest designs and floor plans, we like to suggest purchasing a new construction home that you can customize options that fit your style, have the latest building materials, built to current industry codes and have extended warranties on major home systems, the foundation and the roof.  

Make sure your closing date is scheduled prior to your rate lock expiration on your mortgage loan. 

If you're also selling a home and need the cash from the sale, make sure that the closing on your current property is scheduled prior to the closing on your new home. 

Check with your closing agent to find out the amount of certified funds needed for your closing day. You will need to bring a cashier the day of closing. The title company will not accept credit cards or personal checks. 

Make arrangements for all people needed to sign closing documents to be present. This may include your spouse or any other co-signer. If one party is unable to attend the closing, we will arrange for Power Of Attorney paperwork to be completed in advance. So please be sure to communicate to our team should this be a needed resource.

You must bring a valid government issued photo ID the day of closing to the title company — your driver's license or passport, for example. If you haven't done so already, make sure utilities will be turned on once you take possession of your new home, as the seller is only obligated to have utilities connected until the day of closing.

Tip: Make arrangements at work and with childcare to be absent for 3-4 hours. (Closing normally takes an hour but you should be prepared to spend extra time in case issues arise.)

Don't leave without your new keys!

Congratulations on the purchase of your new home!

Please look forward to us sending you  an online review link. We love hearing from you.

We hope that we have earned an opportunity to ask for referrals of any family and friends that are in the market to buy, sale, invest or lease property in Texas. We are also well connected throughout the United States and abroad, so please feel free to let us know how we can extend our vast network of real estate professionals. We are here to serve!