The 21 steps to buying an apartment
Buying an apartment, townhouse or house is an enjoyable but complex process. That's why I'm often asked, "What are the basic steps to buying an apartment? Buying a home, just like selling a home, requires careful planning and knowing if your current plan of action is the right one. This will ensure that you are buying a property that fits your budget and the actual market price, and that will last long enough for your needs.
These 21 steps to buying an apartment will help you assess your expectations and ask the right questions to get ready for your new home.
Steps to buying an apartment
1. Assessing needs and expectations
One of the most important questions. If you don't know why you don't like your current home, it will be difficult to make a choice. And once you've made your choice, there's no guarantee that you'll be happy a year from now.
2. Priority setting
What are the most important requirements for a new home? If it doesn't meet them, don't go to see it. For example, location, size, level of furnishings, year of construction, number of rooms, environment, transportation and communication, price and maintenance costs. A clear prioritization will save you time.
3. Identify additional needs
What additional features are desirable but not necessary? Consult your real estate broker. If you are looking for your dream home, a broker will help you make your dream a reality by specifying your wishes.
4. Evaluate budget options
How much can you afford to spend on a house? Will the bank give you a loan once you put a down payment on the house?
5. Determine the timeline
How long will you be looking? Do you want to build yourself? Do you want to renovate or furnish yourself?
6. Sell the old house
If you don't need to sell your current home before buying a new one, that's fine - it will make the buying process much easier. However, in most cases you do need to sell your current home and often people find a suitable new home, but by the time they sell their current home, the new home has already found new owners. And if the new home has been unsold for 3 months, isn't it worth buying? A professional real estate broker will help you deal with this situation.
7. Online search
On the main portals, the price of many properties does not reflect reality. The price quoted may be up to 50% higher than the market price. A professional real estate broker will help you determine the real price. If you don't know how to choose the best real estate broker call your relatives they will be able to advise you at this stage of your property purchase.
8. Calls by announcements
Does the property meet the basic requirements? Do you like the property according to the description and photos? Does the description correspond to reality? Is it worth going to see it?
9. Control of documentation
Are the documents in order and are there no restrictions? For example, foreclosures, mortgages, bank authorization to sell, property, unpaid community fees, purchase transaction not completed, construction not authorized, cadastral surveys not recorded, communications not cleared, influence of detailed plan and general plan, other impediments to sale. Will the real estate appraisers value the property accordingly?
10. Obtaining a bank loan
How much of a loan can you get? What is the maximum amount that can be financed for the selected property? What are the terms, conditions, additional costs, administrative fees, contract amendment conditions, early repayment terms?
Final price, payment method and conditions, moving-in conditions, furniture to keep, etc. How to objectively evaluate the price and other criteria? Often, the transaction does not go through because the buyer and seller cannot find a mutually acceptable solution. A real estate broker has more experience in negotiations and knows what additional offers will help find a solution.
12. Obtaining credit from a bank
The bank requires a credit application, an evaluation of the property and a decision on the financing of the property (7 to 15 days).
13. Preliminary agreement
Price. Agree on the amount of the advance (deposit or down payment), the terms, the obligations of both parties, what needs to be done before the transaction and any additional conditions.
14. Preparation for the signing of the main notarial contract of sale and purchase
Actions to be taken by the buyer: agree on all conditions with the bank, get permission from the court if there are minor children. Make sure you have valid identity documents, as without them the transaction cannot be completed and you risk losing the deposit paid.
15. Main Contract
The main sale and purchase agreement is signed at a notary's office and sets out the exact method and timing of payments. If financing is provided by a bank, it takes about 30 days for the seller to pay the full amount. The broker will help you eliminate any "snags" that may occur during the negotiation of the contract.
16. Registration of the dwelling with the State Registration Office
Congratulations! You are already a homeowner, even if you have not yet paid the seller in full.
17. Insurance of assets pledged to the bank
The Bank will not finance an asset if it is not insured. Duration 1-2 days.
18. Preparing for pledging and signing the loan agreement
Delivery to the bank of the documents necessary for the preparation of the mortgage schedule.
19. Signature of the credit agreement
The credit agreement is signed at the bank and the mortgage note is notarized.
20. Formalization of the mortgage
Registration of the mortgage note with the Mortgage Department.
21. Final settlement with vendors
Obtaining the credit and transferring the money to the sellers of the house to the specified account.