Purchasing a home can be a stressful process for the buyer (and seller too), bringing a mixture of emotions - excitement, nervousness, and uncertainty. The process can be overwhelming however at First Equity we are here to help you every step of the way.
Get pre-qualified - Before you begin your new home search, you will want to get pre-qualified . In the pre-qualification process you will work with one of our Loan Originators to review your income, assets and credit worthiness. We will pre-underwrite the proposed loan and determine exactly how much home you can afford. You will receive a pre-qualification letter to submit with all purchase contracts.
Select a Real Estate Agent
- Although not required, a real estate agent helps you find a home, negotiate a successful offer and generally represents your interests throughout the real estate sales process. An agent with good knowledge of the area you wish to purchase in is ideal. Your Loan Originator will work closely with you and your agent forming your home buying team. Your Loan Originator will make contact with your chosen agent. Just provide contact information when you make your choice.
Make Offers - Your Real Estate Agent
will make offers to purchase the properties that meet your requirements. The pre-approval letter will convey to the seller of these properties that you are a qualified buyer who is able to perform on the proposed contract. We are committed to closing your loan quickly and in time to meet the needs of both buyers and sellers.
Accepted Offers - When you have one of your offers accepted, you will receive a signed purchase agreement from the seller. Immediately contact your Loan Originator and send in the signed contract (purchase agreement) and all counter offers. Upon receipt your loan will immediately move into the loan processing and final approval stage.
Loan Processing and Final Approval - Once you have made an offer on a home and the seller accepts it, your loan will go into the "processing and final underwriting" stages. Here, with the help of your real estate agent, you will supply the purchase contract and title company information for the transaction. We will order an appraisal and collect all the remaining documents needed. Appraisals should be here within 7 days of ordering, and upon receipt, we will submit to underwrite the file and issue a final approval. During this time, your loan originator will work closely with you and your agent to satisfy any final loan conditions.
Contingency Period - The contingency period allows you time in contract to collect more information without forfeiting your deposit. The time frame ranges from between 10 to 18 calendar days and is typical in most purchase contracts. During this period, your real estate agent will help you:
Review and approve the Seller's Real Estate Transfer Disclosure Statement
Review and approve the Preliminary Title Report
Contract for physical inspections
Order, review, and approve requested or required inspections
Homeowners Insurance Coverage - Most Home Loans are required to be insured under our Fire & Hazard coverage you will need to secure your own insurance through an agent of your choice and the lender will require evidence of insurance.
Document Preparation and Closing - Once your loan is fully approved, we will prepare your loan documents and submit them to the title/escrow company for you to sign. Typically, the escrow officer at the escrow company will provide a Buyer's Estimated Closing Statement which will itemize your costs and credits and closely estimate total monies due. You will be asked to bring a cashier's check to the title/escrow company when you go to sign, a few days prior to closing. The escrow agent will call you when the documents are ready to sign and appointments are available. The signing process requires both the buyer and seller to sign separate packages. The escrow agent should guide you smoothly through this process. You will receive copies of all the documents you sign from the escrow company. You are almost done.
Funding - The escrow company will send your signed loan documents, along with any other outstanding loan condition documentation, back to lender for a final review. Once all documentation is determined as being complete, the loan will be funded.
Close of Escrow - Once the escrow company verifies receipt of the funds, they will arrange for all documents to record and then your closed and you can move in to your new home.