Buyer's Timeline
Seek pre-approval 1-2 days
Interview three mortgage bankers before filling out an application. Discuss the amount you are comfortable spending each month and the savings you are able to place as a down payment. After you have found your mortgage banker, fill-in an application (credit check required, W-2 or taxes for two years, two recent pay stubs). Your loan is unique, conventional loans require 10% down and FHA loans require 3.5% down.
Find your new home 90 - 180 days
Depending on what you are looking for, the length of your search will vary. A good Realtor <link> is a valuable resource. The average person sees 20 - 25 homes before placing an offer. The Internet is a wonderful search tool, refining the process down to 10 - 12 home viewings. Many buyers use our automated search <link> which constantly scans your neighborhood for your exact criteria, instantly alerting you to new listings.
Place your offer 3 - 14 days
Everything is a negotiation. Inquire about neighborhood assessments, refrigerator, washer/dryer, curtains, and fixtures; some sellers pay incentives like closing costs. The Tennessee Residential Property Disclosure <link> reveals all known defects. Homes are delivered 'swept clean'.
Obtain financing and inspect your new home 30 - 45 days
After delivering your pre-approval letter, it is important to solidify a financial package. A conventional loan will take 14 - 21 days to produce, and an FHA loan will take 30 - 45 days. While your mortgage banker prepares the loan, it is your responsibility to perform all 'due diligence' and inspect the property. Sellers provide a window of 5 - 10 days to completely inspect your new home. A general home inspector and a termite inspector will suffice in most cases. Specialists may be required for chimney, HVAC, radon, mold, and asbestos issues. Your inspector will provide you with a written report of defects found. You have the right to either request repairs, negotiate a sum of money to correct defects, or abandon the deal altogether. Most deals continue forward to a final acceptable offer.
Close on your new home 5 - 10 days
An attorney will arrange all documentation and monies for closing, the most prevalent document is the HUD Statement. You must inspect the condition of the property before closing, this is known as a 'final walkthrough'. Within a 24 hour period the seller will sign-off his/her claim and you will sign-on to the deed.