Congratulations! This is a big step in the home buying process, and you’re probably feeling excited and overwhelmed at the same time.
1. Submit your EMD:
One of the first things you need to do is submit an earnest money deposit (EMD). An EMD is a good faith deposit that shows the seller you are serious about buying their home. It is typically around 3% of the purchase price, and it is deposited into an escrow account. The escrow account is a neutral third party that holds the money until the sale closes.
2. Get pre-approved for a mortgage:
If you haven’t already done so, you will need to get pre-approved for a mortgage. This will give you an idea of how much you can borrow and what your monthly payments will be.
3. Schedule a home inspection:
A home inspection is a visual inspection of the home to identify any potential problems. It is important to schedule a home inspection early in the process so that you have time to address any issues before closing.
4. Review the title report:
The title report is a document that shows who owns the home and whether there are any liens or encumbrances on the property. You should review the title report carefully to make sure that there are no surprises.
5. Get homeowners insurance:
Homeowners insurance protects you financially in case of damage to your home or if someone is injured on your property. You will need to purchase homeowners insurance before closing.
6. Attend the closing:
The closing is the final step in the home buying process. At the closing, you will sign all of the necessary paperwork and pay the balance of the purchase price. Once the closing is complete, you will officially be the owner of your new home!
