Home Buying Process
Owning real estate can be one of the least risky ways to build wealth. Whether you are a first time buyer or more experienced with purchasing property it is a decision that should be made carefully. Choosing the right REALTOR will ensure you have a professional on your side from the beginning of the transaction to the end. At All City Real Estate, we take pride in providing expert advice throughout the entire home buying process. We will assist you from the first property search to closing as explained in our Six Steps to Buying. We will be your advocate at every step of the home buying process. Here on our website you can find information about the best neighborhoods in Austin and surrounding areas. With our advanced search ability we can help you search for real estate listings that best meet your criteria.
1.Decide What You Want
The first step to buying a home is determining your needs and the reasons why you want to buy real estate in Austin, Texas. This is the most difficult process & we suggest that our clients spend more time here to write down what they need v/s want. Every client is different so we will ask questions to gain a better understanding of your goals. Having a clear understanding of your reasons for buying a home will help you choose the right property. Our experience from working with previous clients allows us to help create your list of needs and wants then we can begin the process of helping to find your next home. No matter what your real estate needs are we want to help you purchase your next home. Please complete the buyer consultation form or call Sheela at 737-701-9081 and we will help you find what you are looking for.
2.Get Pre- Qualified
We suggest home buyers consult with a mortgage lender as soon as you decide to buy a home. We can recommend lenders our clients have enjoyed working with in the past or you can choose your own. By working with a lender to arrange pre-approval you will have an understanding of the monthly payment you can afford and the down payment and closing costs you will need. Being pre-approved for a mortgage will make your offer more attractive to a seller. Sellers will know you are serious about buying their home and therefore more likely to accept your offer over another buyer who is not pre-approved. We also like to introduce you to Debt to Income Ratio. This is something that lenders take very seriously. Your overall debt should not be more than 40% of your income, and your housing debt should not be more than 32%. What 32% of your income will buy depends on where you want to live. In rural or downtrodden areas for example, it can buy a very comfortable residence and ample acreage. In highly sought-after urban areas however, it may not even buy a 400 square foot bachelor suite.
3.Find your Home
Finding the perfect home in Austin market needs to be a team effort. Once we know your criteria we can show you homes that would be a good fit. With our knowledge of the market and our networking with other agents, builders, we will be able to let you know about some homes even before they are listed in the Austin MLS (Multiple Listing Service). The advanced functions on trustedrealty.com will enable you to find properties that match your needs, save listings and receive email notifications when homes are listed for sale. If you see homes you would like to view simply send us a message and we will make the appointments. This will save you time and hassle compared to calling the listing agent for each home.
4.Make an offer
Once we have found a home you want to buy you are ready to make an offer. We will help you determine what to offer based on the current market value, analyzing recent sales of similar homes, the condition of the home, other options available to you and your interest in the property. We will prepare the contract for your review and submit it to the seller and keep you updated throughout the process. Don’t be surprised if the seller doesn’t accept your initial offer. Counter offers are typical and we will help you negotiate the best possible price and terms possible in the current Austin real estate market.
Home Inspections are the critical part that we need to consider during the option period. The home inspection will make sure you know what you’re getting into during the option period and before you sign your closing papers. Once the seller accepts the offer, we typically have 5 – 8 days of option period. This is the time, we get the home inspected & negotiate. Once we pass this process, there are many items that need still need to be completed. From ensuring your earnest money are deposited & also make sure all the negotiated items are take care off. We make this process very simple & stress free for our clients.
Once we have completed your due diligence it should be smooth sailing from here. Your paperwork from the lender has been sent to the title company and we will set a date and time for you to close. You’ll present a cashier’s check to the seller, sign another document that itemizes closing costs (the lender will have given you an estimate in advance), and pay your share of the closing costs. In return, you will receive a deed, transferring ownership rights to you. To ensure that the closing proceeds smoothly we make sure everything turns out the way you expected we will attend your closing. This is the big day you’ve been waiting for! Congratulations, the home is yours!
How Much House Can You Afford?
This mortgage calculator can be used to figure out monthly payments of a home mortgage loan, based on the home’s sale price, the term of the loan desired, buyer’s down payment percentage, and the loan’s interest rate. This calculator factors in PMI (Private Mortgage Insurance) for loans where less than 20% is put as a down payment. Also taken into consideration are the town property taxes, and their effect on the total monthly mortgage payment.