The first step in buying a home is preparing your finances. Review your credit score, set a budget, and save for a down payment. Once your financials are in order, it’s time to get pre-approved for a mortgage. This pre-approval not only shows sellers you’re serious but also gives you a clear picture of what you can afford, helping to streamline your home search.

Once you’re pre-approved, it’s time to meet with a real estate agent. A professional agent can guide you through the complex home-buying process, answer questions, and help you find properties that match your criteria. Their expertise is crucial in navigating market trends and negotiating the best deal.

With the recent NAR settlement, the process of buying a home now requires that buyers sign a Buyer Broker Agreement (BBA) before they can tour a property with a realtor. This rule change, effective in August 2024, ensures transparency regarding the realtor’s compensation and their role in the transaction. By signing the BBA, the buyer does not commit to any long-term obligation with the realtor but gains clarity and protection in the process. This agreement outlines the services provided and allows the buyer to understand exactly how the agent is being compensated. Importantly, the BBA helps to ease buyers’ minds, knowing that the terms are clear, but they are not locked into any exclusivity unless they choose to be​.

With your agent’s guidance and your pre-approval in hand, it’s time to begin searching for your dream home. You’ll tour various properties that meet your needs and preferences. During this phase, you’ll assess neighborhoods, amenities, and potential for growth, narrowing down your options.

Once you’ve found the perfect home, it’s time to make an offer. Your agent will help you determine a competitive price based on market conditions and comparable homes and make the offer on your behalf and negotiate to get you the best deal. The offer includes terms, conditions, and your bid, setting the stage for negotiation with the seller.

After submitting your offer, the seller may accept it, setting the wheels in motion for the next steps. If your offer is accepted, congratulations—you’re one step closer to owning your new home! Now, the focus shifts to inspections, appraisals, and finalizing the financial details.

Writing an offer is more than just naming a price. With the help of your agent, you’ll draft a formal offer that includes contingencies like inspections, financing, and timelines for moving forward. A well-crafted offer increases your chances of securing the home.

A home inspection is a vital part of the buying process. It ensures the property is in good condition and reveals any potential issues. After the inspection, you’ll have a clearer understanding of the home’s condition and can negotiate any necessary repairs with the seller.

Once the inspection is complete, your agent may need to negotiate with the seller over repairs or price adjustments. This step is essential to ensuring that you’re comfortable with the home’s condition and the terms of your purchase before moving forward.

As part of the mortgage process, the lender will order an appraisal to confirm the home’s value. Once the appraisal is complete, and the home is valued at or above the offer price, you’ll finalize your financing and receive a financial commitment from your lender.

Closing day is the final step in the home-buying journey. On this day, you’ll sign the necessary paperwork, pay closing costs, and receive the keys to your new home. It’s a significant milestone that officially makes you the new owner.

After all the hard work, it’s time to celebrate! Whether it’s a quiet moment to enjoy your new space or a gathering with friends and family, buying a home is a major achievement that deserves recognition. Congratulations on your new chapter!