First home buying guide

Step1: Establish your needs and wants
Step2: Find a good real estate agent
Step3: Determine how much you can afford
Step4: Establish your target area
Step5: Research new loans
Step6: Discover other ways to finance a home
Step7: Make an offer to buy a home
Step8: Prepare for the loan application
Step9: Understand the closing
Step10: Enjoy your first taste of home ownership

How to really look at a home
As you take a serious second look, spend time opening cupboard doors, turning on faucets, looking under, over and behind furnishings that could be hiding cracks or damage. Be sure that your real estate agent asks the seller if there have been any problems with the home in the past and what, if anything, was done to correct them. If the seller in your state are required by law to sign a disclosure statement listing known defects, ask for a copy and study it carefully.

Before you hire an inspector, be sure you know exactly what you are getting. What service can you expect? Ask these questions before signing an inspection contract:

• What parts of the home will be checked? (Attic?basement? exterior as well as interior? Foundation? Roof? Insulation? Electrical, gas and plumbing systems? build-in appliances?
• What defects will the inspector specifically look for?
• Will the inspection cover infestation and damage by wood-destroying organisms such as termites and dry rot?
• What guarantee, if any, is offered?
• Are any defects, conditions, or parts of the home excluded from the guarantee?

(roof inspection, electrical, pluming or heating system)

If the inspection results are not to your liking, you will be able to back out of the deal or renegotiate a better price.

Who should write the offer?
Because an offer becomes a binding agreement once it has been accepted by the seller, it is important for your original offer to be written with great care...most offers are written by agents.

But if you still feel confused or uncertain about any part of the offer after your agent has explained it, ask your attorney to review it before you sign.

Appraisals

Understand the closing