Buying a house is a major decision. We want to make sure you know what to expect in the home buying process and give you the necessary information to make informed decisions throughout the process as a first time home buyer.
Step 1: Give us a call and get pre-approved with Shore Before
Think you are ready to buy a home? Give us a call or submit an online request to start the home buying process. Your loan officer will ask you questions to find out what your current situation is and what your financial goals are for buying a home. A Shore Before approval lets you know your price range for a home, lets sellers know you are serious, and gives you negotiating power. It is a free service for Shore Mortgage clients and, best of all, it sets you apart from the rest of home buyers. Unlike regular pre-approvals, with a Shore Before approval an underwriter looks at your information and verifies that you qualify for the loan amount.
Step 2: Determine what type of home loan is best for you
There are many different home loan programs out there and our job is to help you find the best mortgage program for your particular situation. Your purchase-certified loan officer will walk you through the loan options that are available to you and discuss the benefits of each.
Step 3: Find a real estate agent
An experienced real estate agent can ensure you get exactly what you want in your first home purchase. Your real estate agent will help you find the right home, negotiate a price that works with your budget, and help you navigate the paperwork and process that goes into buying a home. Be sure to ask for recommendations from people you trust and interview multiple agents before choosing one. When you select an agent, let him or her know you are Shore Before approved.
Step 4: Find a home Step 5: Complete the loan application and lock in a rate
Finding the right home can be the biggest challenge in the whole process. When you find the right home, you will want to submit an offer. Once the offer is sent to the seller’s agent, the seller can either accept your offer or issue a counter-offer. If you reach an agreement, you will then make a good-faith deposit.
Once you find the perfect home, you’ll provide your loan officer with a purchase agreement so you can lock in at a competitive interest rate. Rates can vary based on the market, the type of loan you are getting, and your current situation. Your loan officer will discuss your rate with you before you lock it in.
Step 6: Processing
Our processing team will order all of the necessary third-party documents you need, such as the title work and appraisal. They will notify you if any situations arise while they are collecting the paperwork and help to resolve any challenges that may come up. If you have any questions during this time, our processing team is highly experienced and ready to help.
Step 7a: Underwriting
Make it or break it time. One of our experienced underwriters will review the paperwork to ensure that you qualify for a home loan. Want to get through this part quickly? Be sure to be a part of our Shore Before program! Once the underwriter looks over all of your documents, there are usually three possible outcomes:
Step 7b: Home inspection and appraisal
- 1.Approved. Your loan will be approved.
- Approved with conditions. Further documentation is needed to qualify your loan. Your client communicator will give you a call to notify you and discuss what additional information we need.
- 3.Denied. Loans can be denied for many reasons. Ask for more information so you can improve your situation and apply for a home loan in the future.
While your documents are in underwriting, you’ll want to have a professional inspect the home for any potential problems. If any problems turn up at the inspection, you can negotiate with the seller to have these repairs made or discount the selling price of the home. At the same time, we will schedule an appraisal for you to confirm the market value of the home. Step 8: Loan approval – clear to close
Once everything is approved by our underwriters, we will schedule the closing for you. In the meantime, we will prepare your documents for closing. You need to buy a homeowner’s insurance policy and call the utility companies to get service set up in your name after the closing date.
Step 9: Closing
Sign here…and here…and here. You are going to hear that a lot at the closing. Closing usually takes 30 to 45 minutes. Be sure to take your time and read over every piece of paperwork before you sign it.
Step 10: Move in!
Unless you have made an agreement with the seller, you will be allowed to take possession of your new home immediately. Welcome home!