Buying your first home involves a lot of steps and paperwork, so it helps to know what’s coming.
Here are the basic steps (including how your Legal Plan saves you money on a real estate closing lawyer):
1. Figure Out What You Can Afford
Before looking at homes, get a clear idea of what you can spend every month.
Remember that buying a home can include more than your mortgage. Consider taxes, homeowners insurance, ongoing home expenses, and upfront costs like your down payment and closing costs.
2. Get Preapproved for a Mortgage
A mortgage preapproval gives you an idea of how much a lender may be willing to lend you. It can also show sellers you are serious about buying when you make an offer.
3. Find a Real Estate Agent
An agent can help you find homes that fit your budget, set up showings, understand what homes are selling for, and put together an offer when you find one you want.
They also coordinate with the seller’s agent and track key deadlines. Find an agent you trust and feel comfortable asking questions.
4. Find a Home and Make an Offer
Once you find a home you want, you can make an offer. This usually includes the price you are willing to pay and other terms of the purchase.
The seller can accept, reject, or make a counteroffer.
5. Bring in a Real Estate Lawyer
Before you sign the purchase contract, a real estate lawyer can review the documents, explain what you are agreeing to, and check for potential issues.
Do not assume a contract is “standard” just because it looks that way. A closing lawyer is super important, and your Legal Plan offers one at a highly discounted rate.
6. Get the Home Inspected
A home inspection can help uncover problems with the property before you buy it.
Depending on what the inspection finds and the terms of your contract, you may need to discuss repairs or other issues with the seller.
7. Finalize Your Mortgage
After your offer is accepted, you will work with your lender to complete the mortgage process.
They may request financial documents and order an appraisal to help determine the home’s value.
8. Get Ready for Closing
Before closing, there will be more documents to review and costs to prepare for.
You will also usually do a final walk-through of the home to make sure it is in the expected condition.
9. Close and Get the Keys
At closing, the final documents are signed, money is transferred, and ownership of the home officially changes hands.
Then, the keys are yours.
Before You Sign, Use Your Legal Benefit
As a IAM Legal Plan member, you have access to discounted legal support for residential real estate closings.
When thousands of dollars and your future home are involved, it is worth it to use your benefits. If you need help today, tap below and submit a request form. Or you can call our Member Helpline at (646) 921-9128.
