The Ultimate Guide to Purchasing a Home
“Honey, we’re home!”
As potential home buyers, we fantasize about the day our dream home becomes a reality. We imagine walking in the door and immediately feeling like it’s time to unwind in a home we’re proud to own.
Living in La Jolla provides even more opportunities to feel at home. Healthy living, summer all year long, and prime location are amenities that can elevate your lifestyle and your dream home’s value. Purchasing a home in La Jolla will not disappoint, especially with the best tools, support, and tips for embarking on the home buying process.
So, where to start in making home ownership a reality?
Keep reading as we reveal the ultimate guide for purchasing a home. Whether it’s your first home or your third home, we will provide you with the steps to make your home buying process as stress-free as possible.
Tips for Purchasing a Home
1. Shop Around for Mortgage Lenders
You will be responsible to a mortgage lender for 15, 20, or 30 years. Researching and interviewing companies in advance will eliminate future regrets should you learn that a better prospect existed.
Compare interest rates, ask about fees beyond the principal and requirements for securing a loan. Ask what information they need from you such as bank statements, W-2’s, social security number, and identification. Lenders need a hard pull of your credit score so it’s best to only do this once to prevent lowering your score further.
Make sure that your lender communicates clearly to avoid losing a home in a competitive market.
2. Get Pre-Approved
Securing a pre-approval for a loan and a pre-approval letter from your lender makes you a competitive and informed buyer. Getting pre-approved lets you know exactly what you can afford while targeting your home search before falling in love with a home you can’t buy.
Pre-approval letters also lets the seller know you are serious about purchasing. They’ll know that you are able to afford the home, making you a good investment of their time.
3. Interview and Select a Realtor
It’s tempting to select a realtor who can show us a home right away, but interviewing realtors in advance reduces frustration in the long run. You will spend a ton of time with your realtor and you need to know that they are knowledgeable, reliable, and put your needs first.
Ask potential real estate agents about their experience, home buying strategies, the best way to contact them, and their availability. The right realtor informs you when a home that matches your criteria comes on the market and guides you throughout the home buying process.
4. Make an Offer
You’ve found your dream home and now it’s time to make an offer! Ask your real estate agent to aid you in discerning the following:
- Offer amount based on comps in the area
- Who will pay closing costs,
- Seller response time
- Contingencies to include such as getting an inspection and time allotted to do so (California standard amount is 17 days), appraisal amount, and/or title report
- Earnest money amount
Your real estate agent will then create a purchase agreement for you to sign and present it to the buyer.
5. Get an Inspection
The seller accepted your offer–congratulations! Although an inspection isn’t required for purchasing a home, getting one can save you a lot of future headaches. It also allows you to cancel the purchase agreement should the inspector discover a major defect.
A seller is not required to pay for repairs. If you don’t want to pay extra expenses for the home, a mutual release from the purchase agreement is the final step in canceling the home buying process. This frees you to continue house hunting!
Need More Guidance in Purchasing a Home in La Jolla?
Contact The Daniels Group today! With over 40 years of combined experience, we provide you with excellent service in the complex San Diego real estate market. We provide the personal care and attention you need to make your home buying dreams come true.
Visit our blog to learn more about La Jolla’s real estate market, real estate trends, and home buying tips.
If you enjoyed this post, you may want to also read, “Top 10 Tips for First-Time Homebuyers.”
As consistent top producers in real estate, Linda Daniels and The Daniels Group are your La Jolla housing specialists. Our team of local experts will ensure that you have a successful real estate transaction. Call us today at (858) 361-5561 or email us anytime by clicking here.