How to Buy a Home (A Quick Overview)

How to Buy a Home

Are you interested in buying a home in the Chicagoland area but aren’t sure where to start? Find out how to buy a home and then go through the steps so you can finally own a house. While it might take a little while to buy a home, going through the proper steps will make the process much easier overall. Then you will be able to enjoy your new home.

Check Your Credit Score

When you ask people how to buy a house, most will tell you to start by checking your credit score. Your credit score will impact your ability to get financing, as well as your interest rates. Most lenders require a credit score of at least 620, but you might need your score to be 660 or higher, depending on the lender. Of course, if you can get your credit score to at least 700, it will be much easier to find affordable financing. If your credit score is too low, take action to increase it.

Decide How Much You Can Afford

You need to decide how much you can afford to spend on a house. Remember, the cost of ownership goes beyond your mortgage payment. You also need to consider utility bills, property taxes, and other expenses. Determine how much you can afford to spend each month before you take the next steps to buy a house.

Get Your Down Payment Together

While there are some options for zero down payment mortgage loans, conventional mortgages require at least 5 percent down. If you put down less than 20 percent, you’ll be required to carry private mortgage insurance. Because of that, most people prefer to put 20 percent down. If you have equity in your current home, that can help you make the down payment after you sell your house. Otherwise, save your money so you will be prepared to put a 20 percent down payment when you buy a home.

Get Pre-approved for a Mortgage Loan

When researching how to buy a home, you’ll discover that you should get pre-approved before you start looking for homes. The mortgage lender will go over your finances, credit, and income and determine how much you can borrow.

During this process, your loan officer can also tell you what you need to do to improve your credit score. If it’s not necessary, you can move onto the next step.

Reach Out to a Realtor

Next, you need to connect with an experienced realtor who can help you buy a home in the Chicagoland area. Select someone who has been working in the area for years so the realtor will have local market knowledge. Once you hire a real estate agent, you can go over the information that’s important to you. Talk about the type of house you want and go over extras, such as the neighborhood, school district, and amenities. Realtors have a long list of contacts and leads to follow. Your agent can match your desires up to homes in Chicagoland.

Check Out Some Houses

Your agent will take you to different houses that are within your budget. You can take your time with this process. Don’t feel like you have to commit to the first or even the 10th house you see. Real estate agents want to show as many houses as necessary to help their clients find what they want. You should continue looking until you find your next dream home.

Make an Offer

After you find your home, the real fun begins. Your real estate agent will help you make an offer. Your agent can also help negotiate on your behalf. If your offer is accepted, you will complete the paperwork and move forward to closing. Then you can finally settle in your new home.

Are You Ready to Buy a House?

Now that you know how to buy a home, it’s time to get started. A real estate agent and realtor, Kim Wirtz is ready to help you find your next home. With years of local experience, Kim is just what you need to find the perfect house.

Kim Wirtz

Kim Wirtz
Real Estate Agent and Realtor – Contact Me
My success in real estate is attributed to experience, professionalism, and commitment to service in many areas throughout Northern Illinois. I have been a licensed REALTOR® since 1992. I possess an extensive knowledge of the many cities and towns I service. I share that knowledge with my clients in an effort to make their home buying or selling experience a comfortable one.

I take pride in my attention to detail and put all my efforts into understanding the needs of my clients. I constantly educate myself on the latest trends in the marketplace. It is my goal to extend the “royal treatment” to my clients all the time. Every telephone call or email received by me is returned in a very timely manner.  I extend, prompt, courteous and professional service to all.

Buying or selling a home should be a memorable and pleasant experience. Real estate is one of the most exciting investments one can make. I promise to be here for all of my clients in any way possible in order to assure a very pleasant experience. I treat my clients as my friends.