Steps for Buying a House

There are steps for buying a house which you must keep in mind before setting your sights on a new home. Learn about what it takes to make the right choices in picking out a house, that you won't regret buying later on...
WealthHow Staff
Buying a new house takes a lot of planning and thinking time, besides handling financial issues as well. Before you get into the whole process of finalizing the deal, make sure you have important information handled and managed on your end. The steps for buying a house for the first time, don't only include picking out one that is situated in a sensible location, but also one that has access to basic utilities and medical facilities.

Steps Involved When Buying a House

Given below is a checklist for buying a house, that comprise the many things that should be revised when handling the buying of a new home.

Budgeting
Sit down with your partner and draw up a financial plan of how you are going to manage the expenses of the new house. Ask yourselves if you are stable monetary wise, and if it is necessary to get in touch with a trusted mortgage lender. You need to check out your credit reports to make sure that you are liable for a home mortgage, because your financial history is important to evaluate in order to get one approved.

Looking for New Houses
After you get a mortgage letter, stating that it has been approved for a certain amount, start searching for new homes or get in touch with prospective choices that you've shortlisted. Getting an agent is an easier way of finding homes that you see yourself and your partner in. They can scan areas and match your preferences to these houses, before suggesting them as options to you. Get in touch with an agent to help out in the selection process.

Location of House
Make sure that the surrounding area is just as you want it. If having a school nearby is what you had in mind or a hospital, shopping area/theater, check and make sure you do a little research about these places and how far they are from where you stay. If the condo, apartment, duplex, townhouse, etc. is perfect, then give the seller the thumbs up.

Making a Deal
Sellers get back to buyers on three grounds - either accepting the fact that you're interested to pay the asking price, or sticking to their asking price amount or coming up with a counter bid to decide on a price between the price you're offering and the asking price. After deals are made, a contract is then put together and signed by the buyer where you put forward a binder (that is, down payment on a house). Read the contract carefully at this point.

House Inspection
A general inspection is done of the house, including a pest inspection, which is an important part of the buying process. One can contact an exterminator to handle any problems the house may be facing. You'll need to know when the house was built, how the electrical/water system work and other minor details like paint jobs, leakages, maintainability costs and so on. Try to get the seller to pay for the repairs done on the house, seeing that these things were spotted before you moved in. Get inspection papers together as proof.

Closing the Deal on the House
You'll need a lawyer to help you out with closing the deal. Make sure you settle any minor problems that may come up with your agent or anyone else involved in the transaction process. Once you've decided on closing the deal, all financial papers must be signed and copies made out to you with original documents like letter of completion, ownership letter, etc., in your possession.

Steps for buying a house for the first time home buyer, may involve a lot of technical details and legalities that you'll need help with during this time. Take the help of a lawyer to supervise the various steps involved in handling the order of getting things done, without having to miss any important details. These steps when completed can be an exhausting process, but at the end of it you will have your new home!