Nine steps to buying a home
- Figure out
how much you can afford
- Know your
- Shop for a
- Learn about
- Shop for a
- Make an
- Get a home
- Shop for
- Sign papers
What you can afford depends on your income, credit rating, current monthly
expenses, downpayment and the interest rate. The calculators below can help, but
it is best to visit a lender to find out for sure.
Step 2: Know your rights
Step 3: Shop for a loan
Save money by doing your homework. Talk to several lenders, compare costs and
interest rates, negotiate to get a better deal. Consider getting pre-approved
for a loan.
Step 4: Learn about
FHA loan programs offer lower down payments and are a good option for
Step 5: Shop for a home
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 6: Make an 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.
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
Step 8: Shop for homeowners insurance
Lenders require that you have homeowners insurance. Be sure to shop around.
Step 9: Sign papers
You're finally ready to go to "settlement" or "closing." Be sure to read
everything before you sign!