The home buying process.

imagesI realized when I was young that there are stages of freedom in our lives. You just don’t realize them until you experience them. The first one is when we get our first bicycle. No training wheels and the freedom to ride to your friends house or the park on your own. The second is when you move out and get your own place. Apartment or dorm room it doesn’t matter its your own. The third is when you get your own washer and dryer. I’m talking about under the same roof. The forth is when you own Real Estate. You are the king of your castle. My Goal is to lay out the steps involved in buying a house, and for you to have a better understanding of what takes place and why.

  • The first step in the home buying process is to speak with a mortgage lender . You want to be pre-approved before you start to look. I always recommend talking with a few lenders. You will find a difference in closing cost and interest rates. You also may find that you feel more comfortable working with one lender over the other. The lender will give you a pre-approval letter. The pre-approval process will give you the price range that you need to stay within when searching for your next home. It will also be submitted with an offer on a house.
  • Let the home search began. You have access to plenty of sites like msgulfcoasthomes.com, Zillow, Realtor.com or gulfcoastpowersearch.com/youngs/  where you can search for homes on your own. These sites all have the same information, there is no need to jump from site to site. The best advice I can give you is to talk with your Realtor. (list of great Realtors) Face to face is best. Tell them the specifics of what you are looking for, be detailed. It will make the home search go much smother for you. Remember your Realtor is on your side. They are not going to try and sell you something you don’t want or cant afford. Communication is key hereimages (1)
  • So you have found your dream home. Get insurance quotes. Your insurance agent will give a quote and let you know if flood insurance is required. I will provide you with the property tax information. Now you meet back with the lender with the insurance quote and tax information on the home you have found. Your lender will go over what your down payment will be (if any, need a loan with 0 down?), what the expected closing costs and pre-pays (taxes and insurance) will be needed at the closing.
  • Now we write the offer. The seller can accept the offer as is, counter your offer or reject the offer. If the offer is countered then we negotiate with the seller until we reach an agreement.
  • When the offer is accepted, you are under contract. The earnest deposit (normally 1% of the sales price) has to be turned in with in 24 hours of the accepted offer. It is usually held with the closing attorney’s office.  I send a copy of the contract to your lender and the closing attorney so they can began working on the loan and title work. Ones you are in a contract you cannot back out unless there is a contingency to protect you. Some contingency are built into the contract. The ability to get the loan, a home inspection that meets your satisfaction and the home appraising. We can add special contingencies if needed to the contract. I want to protect the buyer as needed for any special circumstances.
  • Home Inspection needs to be completed with in the first 10 days of an accepted contract. We can recommend Home inspectors, but it is up to you to chose, schedule and pay for the home inspecimages (2)tor. They normally cost between 350 and 550 depending on the size of the house. I always recommend to clients to try and be there for at least the last hour of the home inspection. You should get a detailed report from the inspection, but it is always best to have first hand knowledge of any issues there may be with the home.
  • Inspection contingency If you are satisfied with the inspection results then we release the home inspection contingency and move on. If there are repairs that we are requesting then we document those items with photos asking for the seller to repair or replace those items. If the seller does not agree to do the repairs then you have the option to walk away and get your earnest money back or agree to move forward with the house the way it is. If they agree to fix the items then you are still bound to the contract.
  • The appraisal is the next step in the home buying process.
  • What is an appraisal? It is an unbiased estimate of the true value of what the home is worth. Lenders order an appraisal during the mortgage process. It is an objective way to assess the home’s market value. The bank must make sure that the amount of money you are borrowing is not more than the house is worth. Your lender will order the appraisal, it normally cost around $450 your lender can give you an exact cost. This is normally and up front cost, but sometimes it is added to the loan. If the house appraises at the contract price or above then all is good and we keep moving on. If the appraisal is lower than the contract price then we ask the seller to lower the price to the appraised value. If the seller does not agree to lower the price you can pay the difference out of pocket, or walk away from the contract.
  • The termite inspection (Wood Destroying Inspect Report) WDIR is done at this point. This can be a buyer or sellers expense. It is written in the offer who pays for it. If the report shows no active termites or other wood destroying insects and there is no wood damage you will receive a clear report. If there are issues the house will have to be treated and repaired at the sellers expense. You have the opportunity to back out of the contract if active insects are found.download
  • Your loan will move to Underwriting you are almost done. The Underwriters will make sure everything is correct. (income, debt, appraisal, required repairs, WDIR). They may ask for more documents from you at this point. You will want to get them to your lender quickly. It is also very important that when you go under contract to purchase a home you don’t make any changes to your income or debt during this time. Don’t change or quite your job, buy a new car or add debt to your credit cards. They will check for these things.
  • Closing Disclosure 3 day rule. You will receive Closing Documents from your lender 72 hours before closing. They contain details of the mortgag fees and other costs to get your mortgage. You sign these and send them back.e loan you are getting, the loan terms, your projected monthly payments, and how much you will pay in
  • Final walk through (normally 24 hours before closing) I will schedule a time for us to walk through the house. We are checking to make sure the property is in the same condition it was when we entered the contract, any repairs requested have been completed and the property meets the terms of the contract.
  • The closing day is normally scheduled at this point, all people on the loan will need to be there to sign. If you are bringing money to the closing it needs to be certified funds made out to the attorney or title company. You will also need your I.D.
  • Congratulations you are done! You are a new home owner. There is a lot of steps to buying a house but it reallyimages (3) is not difficult. There are a lot of moving parts going on that your Realtor, Mortgage lender and closing attorney are taking care of or guiding you through. I would say its time to relax, but you have furniture to move.

More information for First Time Home Buyers 

Morgan Young and Kristy Young are both licensed Realtors with NextHome E-Realty on the Mississippi Gulf Coast. If you are still reading at this point you must be in the market for a new home. Give                                                                                     them a call, they will be glad to help. 228-239-0371 

 

 

 

welcome ms gulf coast

Why would anyone really want to live on the MS Gulf Coast?

 

Have you ever asked or heard someone else ask “Why would anyone really want to live on the MS Gulf Coast?” I have heard some ask this question and it got me thinking of all the reasons why; but the answer became very clear after staying home (or close to home) on the MS Gulf Coast, during my kids’ spring break! Let me tell you all the great things we did to fill our spring break, and the best part… all of them were either on the MS Gulf Coast or less than 2 hours away from it; and this is just a small portion of what the MS Gulf Coast has to offer.

 

  1. WE STAYED HOME: We started out our spring break right here at home, in GuEli at the poollfport, with lunch at Captain Al’s Steak and Shrimp. We were able to fish in the lake right in our own backyard. We had crawfish and fellowship on our neighbors back porch, overlooking the lake. We swam in the neighborhood pool, played on the playground and walked on some nature trails. My boys got a hair cut, @ Southern Gents for Easter and even got Snow Boogers (If you haven’t had Snow Boogers yet, you must put it on your to do list!) since they were set up for Southern Gents grand opening. This was all on Friday and Saturday before Easter!
  2. CHURCH AND OAK CREST MANSION : For Easter we celebrated the resuoak crest bunny (2)rrection of Christ at Campground Baptist Church, one of the many wonderful churches all along our coast. After enjoying the morning, we changed our traditional Easter family lunch gathering at home and decided to go enjoy the delicious and beautiful brunch offered by Oak Crest Mansion. It was amazing and the grounds are beautiful. This is operated as a bed and breakfast as well, and they often hosts other events such as weddings, murder mystery dinners, tea parties and more.
  3. GULF SHORES, AL: Our home is just under 2 hours to our destination in Gulf Shores, AL. (Side note: we are also only approx. an hour away from New Orleans and Hattkaleigh on beachiesburg, and about 45 minutes from Mobile and Slidell). It was a fun 3 day get away, without a long drive. We were able to hang out on the beach, and spend hours at Lulu’s on the same day that we drove back home. We enjoyed paddle boarding, fishing, splashing in the waves and great food at places like The Hangout.
  4. EXPLORE THE MS GULF COAST: We were exhausted when we got home, but we still had a couple days left of spring break! We slept late the next day and then went fishing, swimming Noah fishing (2)and playing right here in our neighborhood… again! The next day was Saturday, so one of the boys had a basketball game. They play sports in the awesome Upward Sports League. The basketball game was great, and when we left, we headed to the always fabulous Pass Christian Art Festival! We have done this for, I believe, the last 4 or 5 years now. I would go into detail, but that deserves a blog post all of its own! It’s great. The event hosts so many local artists and some that travel from other states. Saturday, you have access to Celebrate the Gulf Marine Educational Festival, that is held concurrently with the art festival. It offers so many displays, activities and demonstrations where the kids learn and explore all kinds of great things about our Gulf, rivers and more! After leaving the festival, we went to check out this cool little hiking trail. A friendly woman that was working the Department of Marine Resources booth at the Marine Educational Festival told us about it. It’s part of the Coastal Preserves program. As soon as she mentioned that we could make it to the Wolf River, so my son had to do it!                                                                                                                    And of course…. no spring break (or weekend, party) is complete without a visit from the  nostalgic Little Blue Truck and Mrs. Charlie! The Little Blue Truck does appearances for parties, click the picture for more info!

charlie and boys

It was a fun-filled and busy week and this was just a VERY small sampling of what the MS Gulf Coast has to offer if you decide to call it home! We’re proud to raise our kids here and would love to help you find a place to raise yours; or just enjoy retirement. We got to do so many things and didn’t have to be stuck in the car for a long drive. I’ve lived here 34+ years, been a Realtor here for almost 10, but still discover new things all the time. That’s what is so great about the MS Gulf Coast. There is always something to do or something to discover! You are a short drive to so many places: New Orleans, Slidell, Mobile, Gulf Shores, Pensacola and so many more. Couple that with the low prices on homes in MS, and my question is why not consider the MS Gulf Coast for your NextHome!

ryder and noah (2)If you are considering moving to the #MSGulfCoast, download our Free Home Search App and start the search for your NextHome!

 

 

Roughin It With the Rugrats: Home Shopping With Kids

familyHome shopping is a complex, emotional and sometimes overwhelming experience. Add kids to the mix and you just doubled that level of complexity, emotions and your chances of getting overwhelmed. That’s OK… take it from a Realtor who has worked for many clients with children, it’s normal! There was even a movie made (Pixar’s Inside Out) about how terrifying and emotional moving can be for a child; especially one who is moving a good distance from their current home and has to navigate a new home, new schools and new friends. However just like with many scary things, it can also be an exciting time, especially for younger children. So let’s explore what parents are looking for vs. what kids are looking for and the importance of putting these things into perspective. Make sure to read to the end for my final piece of advice!

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