Are you interested in becoming a homeowner and want to know how? Here are a few suggestions to simplify the process from start to finish:

STEP #1: Ask about financing. There are state and government programs designed specifically for first-time homebuyers. Consult with a mortgage lender to determine which financial option is right for your specific needs. Coldwell Banker Residential Brokerage is affiliated with NE Moves Mortgage, LLC.  Through this relationship, I have access to knowledgeable mortgage loan officers who can help you determine which program is right for you.

STEP #2: Take the mystery out of mortgages. It’s important to be aware of what mortgage lenders look for. Know your financial status as it affects the terms of a mortgage and the interest rates or types of mortgages you qualify for.

STEP #3: Get pre-approved for a loan. It’s critical to be pre-approved for a loan because it serves as a commitment to lend a specific amount based on the information you provide. A pre-approved loan gives you the confidence and buying power you need.

STEP #4: Do your homework.  Get to know the market you are interested in. Spend time researching different neighborhoods, school districts, transportation, etc.  Go online to sites such as NewEnglandMoves.com to obtain information on buyers’ resources. Doing this type of homework gives you a better understanding of what is available and at what price.

STEP #5: Simplify your search. Create a checklist of the important features you want in a home, such as location, or the number of bedrooms or bathrooms. Other questions to answer: What will the commute to work be like? Are there shopping centers, parks, and schools located near the home?

STEP #6: Find an agent. A sales agent will help you identify homes for sale and in the right price range. The agent also can help with tasks such as writing contracts, negotiating the asking price, and closing the purchase.

STEP #7: Make an offer. Once you find the right house, make an offer. Make sure it is contingent on two items: 1) You’re able to obtain adequate financing (if you haven’t already done so), and 2) you can pull out if the property doesn’t pass the home inspection and the owner can’t come to terms about how to fix the problem. Be prepared for counter-offers from other buyers and some negotiation with the seller. Make an earnest money deposit, which is a check you’ll give your agent to indicate you are serious about buying the house. The check will apply toward the sales price if the deal goes through; if not, you get it back. You should also set a time limit with your agent that the offer you’ve made is good for three days. If an offer is accepted, it goes to the contract phase.

STEP #8: Be safe, not sorry. You’ve found your dream home! Now you need to ensure it’s worth every penny.  Making an offer contingent on an inspection by a registered home inspector can save thousands of dollars by avoiding unseen problems. Inspectors check the house for any structural damage. In the contract with the seller, it should state any necessary repairs to be made before the closing. Prior to closing, walk through the house to see if the repairs have been made.

STEP #9: Protect your investment with homeowners’ insurance. Lenders require homeowners’ insurance to protect the new homebuyer’s interests as well as their own. There are many providers so shop around for the best rates.

STEP #10: Before, during and after the closing. This is where the seller and buyer sign settlement-closing papers to transfer the ownership of the home and all transactions are finalized.

If you need any assistance or guidance throughout the home buying process, please feel free to contact me.

For most people, buying a home is the most significant investment of their lives. And in spite of the doubt and confusion clouding both the financial markets and news headlines, 2011 presents many genuine real estate opportunities – especially for first-time buyers.

On average, prices are down and historical data demonstrate that purchasing a home has proven a sound long-term financial investment. However, first-time homebuyers are often understandably anxious when it comes time to making what could be the largest purchase in their life. Here is a simple “do and don’t” list to make the process easier for everyone dreaming of homeownership.

DO:

• DO utilize free online tools to arm yourself with as much knowledge as possible. Visit real estate Websites like NewEnglandMoves.com and Realtor.com to find information on the latest tax credits, mortgage calculators, and the home buying process overall.

• DO take time to access and closely review your credit score. A sound financial track record and solid credit score can help lock in a loan and lower interest rates. Checking your records with a fine-tooth comb in advance will also ensure that you catch any errors ahead of time, as well as help you better understand how lenders may perceive you.

• DO explore mortgage pre-approval. Obtaining this early green light will help others involved with your purchase know that you are serious about home ownership – and well-qualified.

• DO line up your “all-star” team of professionals before game day. A team of experienced professionals will be key to making the home buying process simple and seamless. Start by interviewing and selecting a sales associate who you “connect” with. That sales associate should also be able to help you identify suitable lawyers, mortgage lenders, home inspectors and others who play a role in the process.

• DO anticipate your future needs and buy for lifestyle. Try to anticipate how long you’ll live in your next home and plan for major lifestyle changes when possible. What may make a perfect starter home for a couple might not work as well when children come into the picture. Remember, people move for lifestyle reasons and your first home will likely not be your last.

• DO hone in on your housing priorities. Your ideal home may have a porch, a pool and five full baths. But before you start looking, make sure to separate your “must-haves” from your “nice to haves,” so you know where you can compromise to meet your budget.

DON’T:

• DON’T fall in love with the first house or neighborhood you see. That grand colonial with the picturesque view may win your heart at first glance, but don’t fall in love too fast. You need to keep an open mind to make sure you find the right fit for all your needs. At the end of your search, it may turn out that the riverfront ranch that’s closer for your commute is a better choice all-around.

• DON’T buy beyond what you can afford. It’s easy to fall into that all-you-can-eat attitude when it comes to your first home purchase. You “want it all” when it comes to size, amenities, location, etc. But remember that your eyes may have a larger appetite than your wallet. Make sure that the down payment, closing costs, monthly expenses and taxes are truly within your income and savings range before you sign on the dotted line.

• DON’T treat your home the way you treat your stock portfolio. It’s unrealistic and unwise to expect your housing investment to appreciate as quickly as you’d hope for your stock portfolio. Buying for lifestyle, as opposed to trying to turn a quick profit, will help ensure that you are viewing home purchasing and ownership in the right context.

• DON’T try to time the market. By the time most consumers sense a major real estate or financial market shift, the tables have typically already turned. Instead of waiting for a slim and unreliable window of time – and potentially missing out on the perfect home – buyers should focus on their own lifestyles and buy when the time is truly right for them.

• DON’T jump into an exotic or confusing mortgage. When it comes to down payments and mortgages, if it sounds too good to be true, it probably is. Be sure to read carefully through every aspect of the proposed agreements to fully understand your end of the bargain. For instance, what seems like an attractive rate now may balloon exponentially a few years down the road. So arm yourself with information and don’t be afraid to ask questions.

• DON’T underestimate the value of a trustworthy real estate agent’s on-the-ground expertise. While being a savvy buyer and doing one’s homework will help on the road to homeownership, a local expert with years of negotiating experience is invaluable when it comes to scouting out the perfect home – and closing the deal.

For most couples, buying a home is the most significant purchase they will ever make together.  While the prospect of owning a home is an exciting one, it can often seem overwhelming, especially for those who are new to the real estate process.   From selecting a neighborhood to deciding how to use a spare room, navigating the world of homeownership together requires some extra work. However, couples will be thankful they put in the additional effort when the “sold” sign is posted on the home of both of their dreams.

For those couples looking to purchase a home, I offer seven simple tips that will ensure a “harmonious house hunt” without rocking the relationship:

Get pre-approved for a loan. There are few things worse than finding the perfect home, only to find out that it costs more than one can afford. Before beginning the house hunt, I recommend getting pre-approved for a loan. A pre-approval will let couples know where they fall financially while informing the mortgage company that they are ready to buy. Additionally, being pre-approved for a loan can help speed up the closing process once an offer has been accepted.

Set a budget. Beyond basic income and savings, there are a number of other financial elements to consider before setting a price range for the new home. Once a couple has decided on a location, they should consider its proximity to their family, jobs and a good school for children and gauge travel costs. The next step is to add up monthly bills, including the couple’s car payments, phone bills, insurance costs, groceries, and credit card payments. This total estimated cost of living should be factored into the couple’s overall budget.

Get on the same page. Whether it is a quiet neighborhood or a two-car garage, everyone has their own “must haves” when it comes to the home of their dreams. For a couple looking for a home to share, it is important to discuss each of their essentials before beginning the search. Keep in mind that agreeing on all of the features of a future home will likely be impossible, so be prepared to compromise. Once the list of “must haves” is finalized, contact a real estate professional who can determine if the expectations are realistic given the homes currently on the market.

Allocate additional funds. The down payment on a new home is just one of the significant financial aspects of a move.  Even after both people’s belongings are combined there will likely still be a need to purchase furniture and other items like a washer and dryer. The last thing a couple will want to do is start out their life together with nothing in the bank!

Be patient. A Coldwell Banker survey found that women are likely to make up their minds faster than men. Almost 70 percent of women surveyed decided the day they walked into the house that it was right for them, while 32 percent of men needed two or more visits. It will likely take multiple trips to the home before both members of the couple decide it is “the one.” If a spouse needs more time, be patient and try not to pressure them.

Take inventory of everyone’s belongings. Before moving into a new home together, each member of the couple should make a list of the furniture they plan to keep and compare it with their partner’s. There may not be a need (or a place) for three televisions and two kitchen tables in the new house. Consider selling unwanted pieces of furniture online, or holding a garage sale.  The money made is sure to be put to good use on purchases for the new home.

Sign a contract. For a couple who has yet to walk down the aisle, it is important to contact a real estate attorney before closing on a home. A contract should be drawn up outlining who is responsible for what expenses and how assets will be divided in the event of a split.

For more helpful tips and suggestions, please feel free to contact me.