Home Buying Process A-Z

In this section we will give you the chronological A-Z guide for how most residential property purchases proceed.  Things may differ here and there, but from our experiences, this is the basic formula so you will know what to expect in your home search.  Generally, most house purchases take 2-3 months from time of putting in an offer.  The property-search timeline can vary greatly due to the current market when you are looking, your area, the price point you are looking in and a few other factors.  Now, first things first...

The first thing you want to do is find a mortgage lender.  They work in multiple types of firms from big banks like Chase, Bank of America and others, to local credit unions and mortgage brokers, these are the main types of lenders most people will find for mortgages.  Starting with obtaining a lender, they will let you know your options for mortgage loan types (Conventional, FHA, VA, USDA, and others) and they will work with you on what your budget will be.  Knowing this information is paramount for your real estate professional.  They will base their search on this information.

Finding a real estate professional is the most important part of the whole process!  They are your main go-to for questions, they are the glue that keeps the deal moving forward when the process hits snags, they are problems solvers, they are educators...they are your biggest ally in your home search.  You can choose to work with a single agent, or with a team.  The best part of working with a team is you get the focus of the entire team, so it's like hiring multiple realtors, not just one...but as you can guess we are a bit biased on this topic with good reasoning!

Once you decided to work with an agent, you'll give them the basic idea of what kind of property you are looking for, single-family, condo, apartment, etc., how many bedrooms, bathrooms, approximate square footage and the area(s) you are looking to buy in.  Don't worry, if you don't exactly know these criteria, your real estate professional can guide through this section.  Next, they will set you up with an MLS search based on the criteria you've chosen.  Once you see some properties that interest you, let your agent know and they will arrange a day and time to go see them.  

It may take several houses to find the one that fits you and your needs/wants, or it may only take one showing.  It all depends.  Once you do find a property you really want, you will put in a Purchase Offer, where your realtor will detail purchase price, deposit, time frame to close in, and any other terms you want to add to your offer.  Now you cross your fingers while you wait for a response.

Congratulations! -  your first big win in your home buying journey, you have an accepted offer.  What this means is that your offer beat all of the completing offers and your able to move forward in buying that property.  

The first thing you want to do after getting an accepted offer is get a home inspection.  as your agent should tell you, the clock is ticking, you generally want to get a home inspection done asap because at this point, the property can still be snagged by a shrewd buyer who can offer more money or better terms - usually get an inspection done within a week or so of an accepted offer.

You can use a licensed home inspector, or you may choose to work with a contractor you trust.  There is no law currently in NY, saying you have to use a licensed home inspector, but they are generally well-rounded in the systems of a house and can give you a detailed report about the property as a whole.  With the information you've gotten from the report, you may choose to negotiate a new price, or terms based on the new information you have at hand.  Your agent should be able to handle this agent to agent, but sometimes it may be handled by your attorney.

Having an attorney is one of the main characters in your home buying story.  They will iron out the legal wording of your contract, the terms, changes to the contract if needed, order a title search/order municipals search, coordinate with your lender, coordinate with the seller's attorney and other duties.

Some terms in the contract will need to be negotiated between the attorneys.  They will present land surveys if there are discrepancies and other details if needed.  This usually takes a few days to a week or so to get done. 

This is a monumental point in your purchase!  You have now gotten signatures from both the seller and the buyer, and you have legally binding contract.  The seller can't just go and sell the property to anyone else.  On the flip side however, you are pretty much locked into the deal as well.  If you have put a deposit down, and want to back out, the seller may be able to keep your money, so make sure by this point you are settled on going all the way in buying this property.

Once you have a fully executed contract you will notice in most cases a significant change in the pace of things.  We now figuratively shift to down a few gears while things happen on the back end of the lending process and title process.  Underwriters with your lender will be crunching numbers and building your mortgage.  Title agents will be searching for past owners of the property and make sure they have no lingering claim to the property; your attorney is waiting for municipals search to make sure the property has no open building permits and so on....

All of these various processes take about 4-6 weeks on a normal property purchase, but it can be held up for a various number of reasons.  Keep in touch with your real estate professional as they are the glue holding all of the elements together and can be the squeaky wheel to keep everyone moving forward.

Finally! - you got the call from your attorney or maybe your agent; the day has come, you are "clear to close"!  This means the lender has the numbers crunched, the attorney has the title and municipals searches in hand and everything looks good and it's time to schedule the closing date.    Your attorney most likely will be the one to let you know what day is scheduled for the closing.  Usually, it's within a week or two of being notified of the clear to close.

On the day of the closing, your agent will arrange a final walk through of the property an hour or so before the closing.  Meeting at the property, you will see if t is still in as-is marketed condition when you saw it on the MLS.  You and your agent will make sure the faucets work as they should, the toilets work as they should, all of the systems are in the same shape as you saw them originally or according to any terms that were negotiated in the contract.  If anything is wrong, your agent should call your attorney immediately and they will work with the opposing counsel to fix the situation before or at the closing table.  The property should at least be in broom swept condition when you are inspecting it.  Once you are satisfied with everything you will head to your closing which usually is held at the seller's attorney's office.

The main people who will be at the closing with you will be your attorney, the seller and their attorney and the bank attorney.  There will be a processing clerk there too to for title and deed.  Your real estate professional may or may not be there depending on the attorney's request.  Your attorney will explain to you all of the papers that will be presented to you and most of them you will need to sign.  Be sure to bring your check book as there most likely will things to pay for like town/village taxes, left-over fuel like oil or propane and some other small things.  The closing usually takes about an hour and at the end you will be given your keys, garage remotes and any other items that may be pertinent to the property.