Are you buying a new home in Portsmouth?

With a little planning ahead of time, purchasing a home isn't very complicated, but the event can be stressful for a lot of people. So you'll understand exactly what to expect, I like to furnish my buyers with a road map of the entire deal. Here are my nine steps to buying a home.

Step 1 – Prepare to purchase a home
Before you start searching for a home, there are several things you'll want to take into account. When you begin your search, you'll probably want to put together a check list of items you need, plan for what school districts and neighborhoods you want to live in, and begin planning around your budget. A good rule to follow is that your mortgage payment should be around 30 percent of your net monthly income.

Step 2 – Contact a real estate agent
That's where I can help. I can book a time to meet so we can talk about your real estate needs and get an idea of your plans for the future. We'll discuss everything from neighborhoods, school districts in the Portsmouth area, the mortgage and housing industries, to any other economic factors that could affect your buying decision today or in the future.

In addition, I'll help you get started on your loan. There are some excellent mortgage professionals in Portsmouth, and I work with a lot of them, so you're in great hands. They can help you decide which kind of loan is best for you, as well as help you get approved.

Step 3 – Begin your search
After our initial meeting, I'll begin looking for houses on the market that are a good fit for you. I'll preview many of the homes and eliminate the bad ones, and then we'll book appointments to tour the homes whenever it's convenient for you.

When we view the homes, I'll show you the good features and bad ones. I'll even ask you about things you like and dislike. Most often, buyers change their must-have list as we view houses and some things become far more essential than others. If such is the case, I'll go back through the listings once more and trim it down to the house of your dreams.

Step 4 – Understand the market
My understanding of the Portsmouth housing market is a crucial asset in your house search. I'm conscious of all the schools and neighborhoods, and I can alert you to certain districts are "hot" and warrant prompt action and the rest that are "cold" and allow for thoughtful consideration.

As we tour homes, I'll make sure to communicate if the list price has room for bargaining or if I believe the home is "priced to sell." When working with an agent, be careful and make sure you ask a lot of questions. Every REALTOR^® in Portsmouth will convince you they know the housing market. If things don't add up, call me at 603-682-0999 or e-mail me at jim@talk2jim.com, and I'd be happy to answer any questions you might have. My market knowledge will keep you a step ahead throughout the entire process.

Step 5 – Find the home you've been looking for
I'm positive we'll find your dream house in the Portsmouth area. When that happens, I'll thoroughly develop your home purchase offer. The offer will be tailored to suit your needs, including some contingencies, such as getting financing, finishing the home inspection, and a clean title.

Upon presenting your offer, you'll need to present "earnest money." This is a cash deposit made to a seller to secure an offer to purchase the property, and it's usually put towards the cost of closing. If the seller accepts the offer, we should close on the property about 30 to 60 days afterward. This allows ample time for your mortgage financing.

Step 6 – Negotiate
Most contracts aren't closed on the initial offer – it's really common to receive a counter offer. But don't let it discourage you. We'll discuss whether or not to agree to the counter offer, propose our own counter offer, or refuse the seller's offer and move on.

How aggressively we negotiate the deal depends on market conditions. We'll also work within your financing limits. And when it's all said and done, we'll put together a contract that works well for you.

Step 7 – Get financing
Upon completion of the deal, you'll start working with your mortgage lender to close the loan. If you're pre-qualified, it won't take very long at all, but you'll need to stay in close contact with your mortgage lender. And I'll handle all the property information your lender needs to close the loan.>

Step 8 – Close the deal
You'll get a Loan Estimate (LE) outlining your closing costs from your mortgage lender within three days of accepting your loan application. The estimate is based on the loan amount, and RESPA requirements mandate that it has to include all closing costs and fall within a tight range of accuracy. I'll examine the estimate and let you know if everything looks permissible.

Then it's time to close on your house. This will likely happen at a title company or escrow office and will probably be a smooth and calm occurrence.

Step 9 – Move in
Success! It's time to move into your new house. Enjoy it. And if you need anything or have any questions, be sure to contact me at 603-682-0999 or send me an e-mail.