What are the requirements to purchase a home in Florida? If you have always wanted to buy your dream home in Central Florida, this is the first question that will always come into your mind when you finally decide to buy a home. If you are a first-time homebuyer, the home buying process can be overwhelming and challenging if you don’t know where to start. Every real estate market is relatively unique and Florida real estate market is not different. For you to avoid making costly mistakes, you need to familiarize yourself with all the important steps that you are required to take when buying a house in Central Florida.
In this guide, we are going to take you through all the necessary steps that you need to take when buying your dream in Central Florida.
Let’s get started!
Step 1: Understand how much you can afford
Buying a home is one of the biggest financial decisions that one can make in a lifetime. Even before you can start searching for your dream home, it’s very important to assess your financial muscles. Knowing how much you can afford will save you time as you will only focus on the specific type of homes in Central Florida that are within your budget.
Determine your credit score first as well as other financial obligations that you currently have. If you have a good credit score, you will have a high chance of qualifying for lower mortgage interest rates. Engage a mortgage broker to understand the various mortgage options available and first-time homeowners’ assistance programs in Central Florida that you can qualify for.
Once you understand your financial status, you will be able to come up with a practical strategy that you will use to raise some down payment.
Step 2: Get Pre-qualified
Once you have a clear understanding of the various homeownership financing options available, the next step is approaching various lenders to get pre-qualified. A mortgage broker will advise you on the various options available. Your lender will review your credit score and pre-qualify you for a particular loan amount.
Getting pre-qualified will help you understand the home price range that you should concentrate on. Later on, the lender can pre-approve your loan application after verifying all crucial financial statements.
Step 3: Hire a reputable Real Estate Agent
Buying a house in Central Florida is a huge investment and it’s very important to ensure everything is done right. By engaging experienced local real estate professionals like Coastal Reality, your home buying process will be simplified. The work of a real estate professional is to guide you understand the local real estate market.
They will show you the types of listed homes that you can buy, the status of various Central Florida neighborhoods, and negotiate for a better offer on your behalf. They have access to local MLS as well as private listings thus, helping you shorten the time you would have spent hunting for your dream home.
Step 4: Make an offer
Once you have engaged your real estate agent, you will work in unison to search for your dream home. You can use online listings or private listings. Once you have settled on a particular home based on your checklist of features and budget, your realtor will help you craft a suitable offer and make your bid.
Once the home seller or through their agents receives the offer, they will review it and decide to accept it as is or negotiate with your real estate agent. If you have been pre-approved by your lender, your bid will be more competitive compared to other prospective homebuyers.
Once negotiations are over and both sides have agreed on a fair offer, you will proceed to a reputable escrow agent and make the agreed deposit as a sign of commitment.
Step 5: Home Inspection
Once you are done with an escrow agent, the next step is to prepare for a home inspection. A home inspection exercise will help you uncover any damages that may require repairs. Hire a professional home inspector and you will get a genuine report on the status of the home you are about to buy in Central Florida.
Once the report is out, your real estate agent can engage the seller's agent so that they can make the necessary repairs or ask for a discounted offer.
Step 7: Final walk-through
A final walk-through is conducted by your real estate agent to determine every recommended repair and home improvements were done in the right way and that the house is fit for occupation. If both parties are satisfied with the final delivery, they will then proceed to the final phase which is closing the home sale.
Step 8; Home closing
Home closing is the final step in buying a house in Central Florida. It involves a lot of paperwork and your real estate agent will connect you to a reputable real estate attorney who will explain every legal document to you before you can sign. Home closing is conducted at the escrow agent’s office.
Once both the buyer and the seller or through their agents agree that everything is fine, the escrow agent will transfer the money to the seller’s account and you will be granted the house keys to become the newest homeowner in Central Florida.
If you have been planning to buy your dream home in Central Florida, get in touch with us and we shall help purchase your first or second home and enjoy the home buying process.