Buying a home

First, we gather the necessary data(application, employment information, paystubs, tax returns, bank statements, etc). Then, we immediately pull your credit to determine if you are ready to go or we need to fix some things first. Our goal is to make sure you qualify for the BEST programs out there with the BEST rates. If your approval is for a First Time Home Buyer or a VA Loan then your down payment will range from 0-3.5% of the purchase price of the home. For example, On a $500,000 FHA home purchase, your down payment would be $17,500.00(3.5%). If your approval is for a conventional loan your down payment could range from 3-20% down. Using the same example above, assuming 20% down conventional, your down payment would be $100,000.

Conventional loans will typically offer the best rates. However, their credit underwriting guidelines are not as favorable as FHA. We also offer DPA(Down Payment Assistance) that works in tandem with FHA and select conventional products. This allows you to purchase with $0 down. We look at all loan options to determine the right product for your particular scenario. Once we are sure you are ready to go we then have your loan directly underwritten. This means all we will need to do is find a home that is satisfactory and you are ready to close. Basically, your loan is fully approved pending the verification of the appraisal data and home inspection. This also makes you a much stronger candidate when placing your offer. Which is hugely important in a competitive market.

Your loan is all set! Now we need to find a home. In your initial welcome call we will determine what areas you are interested in and what your specific needs are in a home. While your loan is being approved we will begin sending you homes that meet your criteria. Once we have been given the green light on your loan one of our approved WWRE agents will take you out and begin showing you homes that you have chosen from the list of possibles. At the point you identify the home that fits your needs perfectly we will place an offer!

We have located the home. Now we need to lock it down. Our market in California is very aggressive in certain price ranges. It is most aggressive for homes priced at or around the median. Currently, the median home price In Los Angeles County is roughly $1,080,000. To that end we will assess the market in your desired area to insure your offer is competitive and or winning. Your offer will include inspection, appraisal, and financing contingencies. Your offer must be accompanied by a good faith deposit of 3% or 5000.00 whichever is greater. These funds will be credited towards the purchase at the end or refunded to you if we find something in the inspection or appraisal that is not satisfactory.

Upon acceptance of your offer we will open escrow. At this point you will deliver your good faith deposit to escrow(usually done by wire within 24 hours of acceptance) and we begin the process of inspection, appraisal, review of any issues we would like the seller to address if applicable, and final loan approval. First step, inspection. We do our inspections within a very quick timeframe(normally 5-10 days) because we don’t want to waste time or unnecessary money on a home that is not suitable. The home inspector will look over the home thoroughly and provide a condition report. This report will detail any areas of concern. Typically we are only looking for serious issues(foundation problems, huge plumbing issues, roof with less than 5 years of life, etc). Home inspection will be a cost to you above and beyond the normal purchasing expenses. Cost is typically about $275-750 depending on home size. Next, appraisal. After we have looked at the home inspection report and addressed any pertinent issues with the seller we will order the appraisal. This will cost you roughly about $550-1000 again depending on the size of the home. Assuming the appraisal comes back at value or better we will move forward. If the appraisal comes in lower we will need to consult with the seller. Once all parties are in agreement(both buyer and seller) we will submit your loan for final approval and order your loan docs. Assuming we have no problems escrow will usually take about 20-45 days. Depending on the type of loan product we are using. Once your loan docs are signed we are ready to close escrow!

After all inspections are complete all parties are satisfied, and loan docs are signed you will need to bring in any remaining funds necessary to complete your down payment and closing cost(This will depend on the type of loan you use). Closing cost are typically 2% or less of the contracted sales price. On a $500,000 home this is about $10,000.00. We will always work to get you as much assistance with closing as possible for you. Once escrow receives your funds and verifies how you would like to hold title(meaning in your name or possibly a trust), then the bank will fund and your loan and we will close. Upon confirmation of recording we will deliver your Keys to you new home and you are now a HOMEOWNER!