Are you looking to buy a new Home in the Columbus and Central OH Area? In this Columbus home buying article, I’ve outlined the seven main steps in getting ready to make a purchase.
If you’re ready to buy a home or seriously considering doing so in the near future and want to know more about what to expect from the 45 - 120 day process, please keep reading.
For assistance or questions, please contact Jason Opland and The Opland Group, with Better Homes and Gardens Real Estate at theoplandgroup@gmail.com or 614-332-6984.
Step 1: Contact a Realtor It is easy to get lost in the real estate mix, especially with properties in Columbus OH in such a high demand. You will want to work with the best Columbus and Central OH Realtor. Start by checking agent reviews on sites like Realtor.com, Zillow.com, Trulia.com, Google for great Columbus and Central OH Realtors. Reviews are provided by buyers and sellers who have previously worked with these agents and upon completion of their transactions. The sites mentioned above include agent production and activity logs which are an indication of the agent's level of experience (consider the difference between a part-time real estate agent who sells a few properties for friends and relatives and someone who treats it as a full-time business venture), as well as a sales history which demonstrates the parts of town the agent has the most experience in. Communication style can also be important and if you want to get to know your agent on a more personal level you can also check sites like LinkedIn and Facebook.
Step 2: Find a Mortgage Broker
It’s critically important to find a good mortgage broker. Here’s an article on how to find a great mortgage broker. In summary, start early, find someone through a good referral and be careful of Big Banks and internet lenders.
Step 3: Receive Your Pre-approval
A pre-approval provides an estimate of what you can borrow. Provide income, debt, and down payment figures. The lender then provides you with an estimate of how much house you can afford. The process should take you a few hours. It is critically important that buyers secure a mortgage pre-approval before shopping for a home.
Step 4: Meet Your Realtor
Once you know how much home you can afford, your Realtor can give you good recent data on neighborhoods, sales trends, a buyer’s checklist and help you find and screen homes for sale. Get a free market snapshot report on any Columbus and Central OH neighborhood.
Step 5: View Columbus and Central Homes For Sale
Buying a home is likely one of the single largest purchases you’ll ever make. Review neighborhoods carefully, pick the type of property you want (single family homes, townhomes or condos), and screen for amenities (beds, baths, etc.) Your Realtor can help you filter by area, quality of construction, price, lot value, and construction value to help you find good options.
Step 6: Determine Your Favorite Home
When you see properties you like, add them to your shortlist. Get more details on those homes and get a tour of 4-6 homes at a time (if you see more than that in a session, they start blending together). Pick your favorite and when you’re ready to move forward . . .
Step 7: Make An Offer
Your Realtor should provide you with information on the neighborhood, recent sales trends, a comparable analysis of recently sold homes, and help provide you with guidance on pricing.
Step 8: Begin Negotiations
Depending on the market (seller’s market means that you need to be quite competitive; buyer’s market means you can shop for deals) you’ll want to adjust your negotiation style. In most parts of Central OH, we’re in a balanced market - but it is neighborhood by neighborhood dependent. Your Realtor should be familiar with the neighborhood and help you negotiate your home purchase/sale accordingly.
Step 9: Finalize Terms Of Sale
Depending on the market, finalizing the terms and conditions typically takes between 48-72 hours. Items will include price, financing amounts, inspection periods, closing dates, known repairs, non-realty items. You’ll want to ensure your Realtor guides you through the home buying and sales process and protects your interests.
Step 10: Prepare Contract
The real estate purchase contract is a legal agreement documenting everything in the terms of sale. Both the buyer and seller have obligations, deadlines and penalties for missing these obligations (this is why you need a great team between your Realtor, mortgage broker, inspector and title company).
Step 11: Contract Timeline Begins
The real estate contract will typically contain lots of dates - this is the contract timeline. There may be a deadlines set for inspections, earnest money deposits, applying for financing, appraisals, qualifying for your loan, and closing. Your Realtor should guide you through this process, but you’re responsible for meeting the deadlines.
Step 12: Home Inspections
It is often in your best interest to ensure that the property is structurally sound and in good general condition and as such you'll want to have a home inspection performed. You’ll want a professional home inspector to check the exterior, interior, structure, roofing, electric setup, heating, plumbing and insulation of your new house.
Special inspections (e.g. stucco, foundation, moisture, insects) may be needed depending on the property you’re purchasing. Your Realtor should have vendors they work with frequently to help you get a shortlist of qualified resources.
Step 13: Finalize Financing
Typically, the buyer will have a period (“inspection period”) where they can back out of the contract for any reason and just lose their earnest deposit. After this period ends, normally the buyer is obligated to close on the home in the agreed upon timeline, otherwise they are at risk of losing their earnest money. It’s so important you have a good lender who can meet contract deadlines without causing you stress and headache.
Step 14: Closing
Usually, the closing is held at a title company (the firm that guarantees you’re purchasing the home free and clear of any debt or incumberance - and gives you insurance to protect against this). It’s often a 45 minute to 1 hour process where they confirm that all of your funds have arrived, all of the conditions to closing and transfer of title have been met, and give you the keys.
You’re done!
Congratulations homeowner! You’ve purchased a new home. Your Realtor should also be make recommendations on movers, housekeepers and service providers that you may need in your new abode.
As with all things, doing the necessary preparation, getting the right information, and finding the best help is crucial.
For assistance or questions, please contact Jason Opland and The Opland Group, Better Homes and Gardens Realty at theoplandgroup@gmail.com or 614.332.6984.
