The very first step in any condo-buying process is to find out from the lender what you can afford. This takes into account what you can budget for your mortgage down payment, monthly utilities, HOA(home owners association fees) annual property taxes, and any other expenses and what a lender will add to closing statement. The best way to go about this is to get pre-approved from a lender who can be a local bank or a mortgage broker.
Schedule home viewings and attend open houses. Figure out your wish list as there are a lot of options when it comes to buying a condo. Take some time to understand your wants and needs, keeping your budget in mind as you search. If you’re looking to stay within a specific budget range, prioritizing budget and will be helpful. Best way to start is to think about the size in terms of square feet and the style of your condo, how many bedrooms and baths you’ll want, and any particular features you know you need.
Buying a condo is likely the biggest purchase you’ll ever make, and it’s best to have an experienced real estate professional to guide you through the complex process. From searching for condos, negotiating, and filling out paperwork, a buyer’s agent will be your trusted consultant and advisor through every step of the way from start to close.
Once you have a good idea of what you can afford and what you’re looking for, it’s time to find your new home! Your real estate agent will be on the lookout for properties as they become available and you’ll want to schedule showings and open houses at homes that meet your search criteria.
After having found the right condo, you’ll want to make an offer as soon as possible. Your real estate agent will assist you if the property is appropriately priced and can help you negotiate offer price, contingencies(loan or inspections), and timeline as they draw up an offer. Once your offer is accepted, you’ll have a fully executed Purchase and Sale Agreement.
Appraisal and inspection The condo inspection and due diligence processes are intended to allow the buyer to make educated assessment regarding the details of the property, including the condition of the home. This usually entails conducting a home inspection and reviewing HOA documents, and if any problems arise, you may add amended terms to the Purchase and Sale Agreement.
Financial commitment or loan commitment is an agreement between the buyer and lender (or bank) that shows the terms of the mortgage and shows the lender’s intention to provide the loan. An appraisal on the home will be completed by the lender before the loan commitment is given so that the lender can certify they are loaning an correct amount of funds for the property being purchased.
Finally the long awaited day. Closing day is when the ownership of the condominium is officially transferred to you. This usually consists of reviewing and signing your loan documents and the deed, transferring funds from escrow account, and providing loan and title fees. Once all documents have been signed and funds are settled, you’ll receive the keys to your new home. Congratulations!