The Real Estate Buying Process: From Start to Closing

1. Preparation Phase.
Assess Your Readiness.
Review your finances, credit score, and savings.
Consider job stability and lifestyle needs.
Get Pre-Approved for a Mortgage.
Meet with a lender to determine your buying power.
Obtain a pre-approval letter to strengthen your offer.
Hire a Real Estate Agent.
Choose a knowledgeable buyer’s agent to represent your interests.
2. Home Search.
Define Your Criteria.
Identify must-haves vs. nice-to-haves (location, size, features).
Tour Properties.
Attend shows, open houses, and virtual tours.
Compare and Evaluate.
Analyze market value, neighborhood trends, and resale potential.
3. Making an Offer.
Submit an Offer.
Your agent writes and submits the offer, including price, terms, and contingencies.
Negotiate Terms.
Negotiate price, closing date, repairs, or concessions if needed.
Offer Accepted.
Once signed by all parties, you’re officially “under contract”.
4. Under Contract (Due Diligence).
Home Inspection.
Hire a licensed inspector to assess the condition of the home.
Renegotiate or request repairs if issues arise.
Appraisal.
Lender orders an appraisal to confirm the home’s value.
Title Search & Insurance.
Ensure there are no legal claims or liens against the property.
Loan Finalization.
Underwriting reviews all financial documents for loan approval.
5. Closing Preparation.
Review Closing Disclosure.
Review all fees, interest rate, and final loan terms at least 3 days before closing.
Final Walkthrough.
Confirm repairs were completed and the property is in expected condition.
Secure Home Insurance.
Obtain a policy effective the day of closing.
6. Closing Day.
Sign Documents.
Sign mortgage, title, and transfer paperwork.
Pay Closing Costs.
Bring necessary funds (usually wired or via cashier’s check).
Receive Keys.
Congratulations, you’re now a homeowner!.
7. After Closing.
Transfer Utilities.
Set up electricity, water, internet, and trash services.
Keep Records.
Save closing documents and loan paperwork.
Plan for Maintenance & Taxes.
Budget for home upkeep, property taxes, and HOA dues if applicable.