Steps in Buying a Home in Arizona

Even though the decision has been made to proceed with a home purchase, the thought of buying a home may terrify some.  Legal documents, loan qualification, house hunting, and the stress of making one of the largest financial decisions in your life can be a little overwhelming.  Taken in stride and understanding the steps involved in buying a home, you will learn the worse part about buying a home is having to move the boxes and unpack everything.

There are six basic steps to buying a home in Arizona.   Each step is outlined as follows:

1.  Pre-qualification.  This first step is the single most important step involved in home buying.  Pre-qualification is the step that determines 

• what options you have available

• how much home you can afford 

• how much the mortgage payments will cost each month 

• identifies the loan programs that are available to you

• maps out alternative strategies to help you buy a home

• points out any hurdles that may prevent you from buying a home

Though many real estate agents profess to have a degree of expertise in helping you pre-qualify for a home, this step is best left to a loan officer who has first hand experience with mortgage programs, new loan programs available on the market, and experience overcoming potential problems so that they do not become problems.

2.  Find a real estate agent.  How successful you are in buying a home lies not in the home itself, but in the agent you choose to represent you and negotiate on your behalf...whether it is yourself, a licensed and experienced agent or your "Uncle Morty" who has dabbled in real estate for the past 20 years.

3.  Find a home.  As simple as it sounds, finding a home that has the right mix of "needs" and "wants" coupled with your qualifying criteria can often be a daunting task.  Though once a home has been identified, you (or your agent) will negotiate a purchase contract that outlines the terms and conditions of your offer (including items such as a sales price, any seller paid closing costs, the inclusion of any personal property like a washer and dryer, etc.).

4.  Find a mortgage.  With an accepted contract, the final step (and normally the easiest) is to select a mortgage to finance the purchase of your home.  Normally your loan officer has already assisted you in exploring your options (see step one), and all that remains is to finalize the mortgage (including a firm lender commitment, searching the title records to make sure there isn't any liens that would affect clean title, and determining the property's value through an appraisal).

5.  Close the deal!  Closing is the final step before you receive the keys to the home.  Though this is generally the shortest step, the closing is the step where you sign all final paperwork to include the new note that outlines the amount you are borrowing and your monthly payment, the deed of trust which shows that you own the property, and a stack of other related paperwork that are needed to finalize the transaction.  Once signed, you are now the proud owner of a new home.

6.  Move.