Buying a home in WA State

Steps to Buying a Washing State Home

Step 1: Consult with a lender for a loan pre-approval

I work with multiple lenders in NW WA. Whether a first-time homebuyer, resale, VA, zero down loan programs, rehab financing or other creative financing I can refer a WA loan officer that may be right for you. Lenders are typically looking for a 620-credit score, 2 years employment in the same industry and no major delinquencies. We also do rent to own and hard money financing. 

Step 2: WA home affordability

A lender can help determine how much you can comfortably afford, debt to income ratios and the best loan avenue for your situation. Don't forget to factor in money you'll need for a down payment (zero down programs available), closing costs (typically 2-3% of the transaction however these may fluctuate, the seller can also make contribution to your closing costs. Transaction fees such as appraisal and a home inspection, etc.) and the costs of minor repairs or making the home move in ready. Remember that you don't always have to put down 20 percent as your parents once did. There are loans available with little to no down payment. An experienced home loan expert can help you understand all your loan options, closing costs and other fees.

Step 3: Find the Right Real Estate Agent

You're looking right at him! Lol I'm Alex Foraker, an agent since 2008 and I would love the opportunity to help. I promise professional and ethical service and handle every transaction as if it were my own. I have never thought of home buying and selling as a being a salesman. I'm here to educate you on the process to make a well-informed decision both legally and financially. I have many referrals and happy homeowners that can vouch for me. 

Step 4: Look for the Right Home

Make a list of the things you'll need to have in the house. Ask yourself how many bedrooms and bathrooms you'll need and get an idea of how much space you desire. Areas of interest, price point, structure characteristics or amenities. Whether a condo, waterfront, 1 story retirement home or downsizing and upsizing come into play. I know the greater Puget Sound real estate market like the back of my hand. 

Once you've made a list of your must haves, don't forget to think about the kind of neighborhood you want, types of schools in the area, the length of your commute to and from work, and the convenience of local shopping, entertainment or accessibility to things you enjoy. 

Step 5: Making an Offer on the Home

Now that you've found the home you want, you have to make an offer. I will provide a list of recent market activity including active, pending and sold properties to give you an idea of value. The offer will include standard contingencies such as financing approval, home inspection, title review, any applicable HOA documents and for more rural areas well and septic inspections. 

The seller may make a counter-offer to which you can also counter back. The market is different in areas, some home asking prices may be negotiable and others may sell above the listing price. I can give some insight as to the activity on the property by offer review dates, days on market and other indicators. 

Step 6: Your offer was accepted!

The first step is typically a home inspection. These run around $450-500 dollars for a standard size property in the area. The inspector checks the roof, plumbing, electrical, foundation, attic, crawl space, heating and many other items. We may then ask the seller to repair items or give you a concession in lieu of the repair. I've gotten good at negotiating over the years. 

The closing date that is agreed upon in the offer may be anywhere from 3-6 weeks depending on buyer and seller needs. Sometimes longer if you write an offer contingent on a home sale. In that time, we'll review any applicable contingencies, appraisal to determine home value and or required repairs by the bank and coordinate with title, escrow and lender to ensure documents are received in a timely manner. 

*Home sale contingencies - If you're selling a home your offer is written contingent on your first finding a buyer. I would provide sales comparable to price the home according to market value. Standard verbiage on this contingency is 45 days however negotiable depending on markets. Once in contract to sell your home we hinge closing on the new property off your sales contract. *  You can also see my page about Selling your WA home

The mortgage broker will help you to understand all the costs that will be involved with the closing so there are no surprises. Closing costs will likely include (but are not limited to) your down payment, title and escrow fees, appraisal fees, inspection fees, and points you may have bought to buy down your interest rate.

You'll typically sign closing documents a few days before closing at which time a wire transfer is completed for your down payment and closing costs. 

Step 7: Closing day! It's one to get excited about!

As we approach the closing date, I can help refer you to local movers, general contractors if you decide to make some updates prior to occupancy. I often recommend boxing items that won't be everyday use items in the closing process to make moving easier. Reserve a moving truck and recruit some help from friends or family as warranted.

Buying a home doesn't have to be a hassle if you're prepared and you know what to do and when to do it. If you choose to work with me as your real estate I have a great team of lender, title companies, home inspectors and people to help you have a smooth home buying experience!