1. CHOOSE A REALTOR: Because you’ll need someone to watch over your interests throughout the process and someone that can advise you correctly about your financing options, market availability and location.
2. FINANCING AND GETTING PRE-APPROVED: This amount will be based on your income, debts and credit. All this information will be requested by a loan officer from a financial institution of your choosing. Once an electronic application is done a price range, estimated monthly payment, cash close, and type of loan can be given.
3. HOUSE SEARCH: This search will be based on the amount by which you were pre-approved in the location you can afford and the housing needs you may have.
4. MAKE AN OFFER AND BE UNDER CONTRACT: Once you’ve found the house that meet your needs, you can place an offer on it. If the offer we present is accepted by the seller or if we are able to reach a negotiation between all parties, we are officially under contract.
5. BANK APPLICATION: It is the process of accommodation the loan you were pre-approved to the property you selected, in this process your loan officer will formally submit all the documents to the bank and start processing the loan.
6. COMPLY WITH THE LOAN CONDITIONS: All the loans are subject to conditions, among these conditions are:
- Additional documents regarding your financial situation.
- The selection of an insurance policy for your future home.
- The appraisal of the house
7. CLOSING OF THE PROPERTY: In this step we have already received the “Clear to close” from the institution that is generating the loan and we only have to attend closing meeting at the attorney’s office to sign all the loan documents and get the keys of the property.
CONGRATULATIONS! YOU ARE HOMEOWNER!
STEPS TOWARDS THE PURCHASE OF YOUR HOME
1. CHOOSE A REALTOR: Because you’ll need a very detailed comparable market analysis of your property, that contains information only available to realtors. A realtor is also the person responsible to look after your interest and most profit throughout the transaction; and help you choose the right offer for your property.
2. SIGN ALL DOCUMENTS: This includes property disclosures and the listing agreement. These documents give the realtor exclusivity to represent the seller, advertise the property and estimate net proceedings.
3. FIND A READY AND ABLE BUYER: To achieve this goal the house needs to be ready to show and photograph. On this step, the marketing strategy of the realtor is crucial as well as the seller’s flexibility to allow as much showings as possible.
4. SELECT THE MOST COMPETENT OFFER AND BE UNDER CONTRACT: This decision is based on the terms that most resemble the agreements and numbers ran by your realtor previously. The seller needs to be mindful that once an offer is accepted, only the buyer can terminate.
5. NEGOTIATING REPAIRS AND/OR CHANGE OF CIRCUMSTANCES: All new and used properties have repairs that need to be addressed, and changes to the contract may occur depending on appraisal report or inspection report, so it is important to reach fair agreements to move forward with the contract.
6. BUYER’S LOAN AUTHORIZATION AND COMPLETION OF REPAIRS: A few days before the closing the buyer needs to have their loan clear to close and the seller has to have the house ready to release possession and vacant of all personal property. This means all repairs and negotiation agreed upon previously have to be completed.
AFTER THESE 6 STEPS ARE COMPLETED, WE GO TO THE ATTONEYS CLOSING TABLE; YOU’LL REALEASE THE DEED AND GET YOUR PROCEEDINGS!
CONGRATULATIONS! YOU SOLD YOUR HOME!
This is the process when you are selling your home to purchase another one, so it becomes two processes in one.
1. CHOOSE A REALTOR: On this type of transaction, it is crucial for you to be represented by a realtor that understands the logistics of what this process entitles, someone that can make the right negotiations on both ends and somebody that can make the process as easy as possible.
2. FINANCING: Apply for a new mortgage, getting pre-approved and have an estimate net of your selling proceedings.
3. PUT YOUR HOUSE ON THE MARKET: For a smoother process it is necessary to put your house on the market, it gives you more leverage and credibility as a buyer, and it makes easier the overall process because it provides more accurate dates.
4. BE UNDER CONTRACT ON BOTH ENDS: The goal is to have a contract in your property to sell, and an accepted offer on the property to buy.
To reduce liabilities terms can be matched on both contracts.
5. COMPLY WITH THE CONTRACTS: Complete the conditions of your loan, complete repairs negotiated in your property to sell, and have your moving arrangements ready for closing day.
6. CLOSING DAY: This might be the most challenging day, because timing is essential. The closings need to be schedule very thoroughly and the vacancy and occupancy of properties need be already available, so your realtor has the responsibility to make sure this process is planed accordingly on this day.
If you are looking to diversify your business and have some cash flow, real estate is an excellent path to build wealth. There are a few ways to do real estate investments, however the type of investment and return will depend on:
– Market condition
– Available cash
– Investor’s expectation
– Location of the Estate
– Timeframe
It is necessary to discuss all those variables first to offer proper guidance and tailor a strategy unique to you and your business. For more information and a free consultation, please call to book an appointment.