Buying a home is a complicated process that involves multiple parties. Below are some of the parties you may need for your home purchase.
Unless you are preparing for a cash purchase, you need a mortgage company or lender to finance your home purchase. Start looking for a lender as soon as you decide to purchase a home. Let the lender preapprove you for the mortgage you want. A mortgage preapproval will strengthen your purchase applications. Don't forget to evaluate the lender's requirements and interest rates when shopping for a mortgage.
A title company investigates the legitimacy of property ownership. Without a title search, you might buy a house with debt or tax lines or with multiple claims of ownership. The title company will issue you with title insurance once it clears the property's title. The title insurance protects you from claims that might arise later on if someone disputes the property's title.
You will also need a property appraiser the minute you spot a house that interests you. The property appraiser will determine the market value of the property you want to purchase. The property appraiser will consider different factors such as the location, size, and age of the house. The property market in the area also matters.
A property appraisal will help you avoid overpaying for a house. In case you want to finance the purchase, the financier will also want to see the approval. No lender will give you a mortgage without confirming the property is worth as much as you want to pay for it.
You cannot tell the condition of a house just by looking at it. A property inspector is a professional with the skills and experience needed to examine a house and determine its condition. You need to have your prospective purchase inspected to ensure you are getting your money's worth of property. Otherwise, you might buy a home only to learn that it has hidden termite damage, for example.
A building contractor can help your purchase in two main ways. First, if you are buying a fixer-upper, the contractor can help you estimate the cost of renovating the property. Secondly, you may also need the contractor to estimate the cost of repairs in case you need a repair concession from the seller.
Real Estate Attorney
Some states require you to use a real estate attorney when buying a property. You don't need a lawyer in other states, but you can still benefit from having one. The lawyer will see to it that the legal aspects of the transaction are above board.
As you can see, you will be dealing with many people when buying a house. Consider using a professional who provides real estate services who can help you coordinate with all these parties.