Buy a Home

It’s Not Just the Key to Your Home, It’s the Key to Your Future

Along with buying a car, investing, and saving for retirement, buying a home is one of the most important financial decisions you’ll make. Homeownership can provide many great benefits.

Appreciation. A home is a long-term investment. Many homes increase in value as the debt attached to them decreases, and many types of improvements may add to the total value.
Ownership. By purchasing a home, you’re investing in an asset over time — an asset you have a stake in. When your loan is paid off, you’ll own your home and will have built equity in it.
Equity. When you build equity, you’ll also have an option to borrow against it to gain access to funds through refinancing or a home equity line of credit. This may give you added flexibility if you’re looking to consolidate debt, make home improvements, pay for college tuition, or supplement your retirement income.
Stability. Rent costs can change dramatically, but with a fixed-rate mortgage, you’ll know what your payments will be throughout the life of the loan. This keeps payments consistent and stable.
Deductions. Mortgage interest and property taxes are usually tax deductible. Other aspects like points and application and appraisal fees may also be deductible. Consult a tax advisor for further information.

1

Meet With Your Lender

2

Find a Home

3

Make an Offer

4

Apply for a Mortgage

5

Underwriting & Appraisal

6

Closing

Meet With Your Lender

House Buying Process

A pre-approval shows you’ve spoken to us, provided initial documentation, set your budget, and considered the next steps. This can give you an advantage over other home shoppers in a competitive market.

Advantages of buying over renting:

Build equity and wealth
Pride of ownership
Security and stability
Tax benefits (consult your tax advisor)
It’s YOURS! Pets, neon yellow walls, smart devices, YOUR rules!

Find a Home

House Buying Process

Meet with your agent to determine your wants and needs. Go in search of your perfect home 3 to 6 months before you intend to buy.

Your agent can help you be realistic about “perfect”:

Cosmetic fixes vs. structural issues
Quality of the schools
Proximity to major interstates and public transportation
Neighborhood crime rates
Property taxes

Make an Offer

House Buying Process

Once you’ve found your dream home, work with your agent to negotiate a price and schedule a home inspection.

Emphasis on “work with your agent”:

Your agent will know how much other homes are selling for in the neighborhood and will negotiate on your behalf for the fairest price.
The inspection will confirm there aren’t any hidden problems with the foundation, plumbing, heating, cooling and electrical systems.
If you want anything that’s not nailed down to be included in the sale, especially the appliances, it must be stated in the contract.

Apply for a Mortgage

House Buying Process

Your application will provide us with any remaining financial information we’ll need and lock your interest rate until the closing date.

Required documentation:

Two most recent and complete tax returns
Two most recent W-2s
Two most recent pay stubs
Two most recent and complete bank statements
A copy of your photo ID
Self-employed borrowers may need to provide additional documentation

Underwriting & Appraisal

House Buying Process

We’ll verify your application information, assess your credit and collateral, and order an appraisal to ensure you’re not overpaying.

The underwriting process:

An underwriter will complete an initial review within 48 hours.
If we require any additional information, also known as conditions, we will work with you to clear conditions within 2 days.
Your loan will return to an underwriter for final review and a clear to-close (CTC).
The loan processor will inform all parties of the CTC and verify the closing date and time.

Closing

House Buying Process

Time to celebrate! After all of the paperwork is signed, you’ll receive the keys to your new home!

Arrive prepared:

Plan to review the final documents to confirm the rate and loan amount.
Bring a cashier’s check to cover the closing costs and down payment.
Bring your photo ID and possibly a Social Security card to confirm your identity.