How Long Does It Take To Buy a Home?
Despite it being a common thing not everybody knows just how long the homebuying process can take. As there are many different parts that go into the preparations and process, there can be select variables that can make it take longer for some than others. Here is a closer look at the timeline of what needs to be done.
Steps of Home Buying
Search – This step in the process can be most fun but really vary and can take longer these days given the extreme lack of inventory. However, the average person usually takes a couple of months of searching properties that come available and fall within their criteria.
Offer – Once you have found the home of interest then it is time to move quickly! Submit your offer and then start negotiations. This usually takes a couple of days of back and forth. If your offer is accepted by the sellers then you will move to inspection usually within a week.
Contract to Closing – After your home inspection has been completed then you move to entering the contract with all of the terms and conditions along with putting down the down payment. From this stage to the closing is usually between 30 and 60 days. During this time you will process the mortgage paperwork, have a home appraisal done, do a title search and lock in home insurance to take effect on the day of ownership.
How You Can Speed Up The Process
Preapproval – Get this done well before you have even begun looking at homes. Not only will this potentially eliminate some properties that fall outside of your budget, but having a pre approval letter in hand will mean you will be ready to submit an offer on the very first property you see if it is a great fit.
Paperwork – Your loan approval requires gathering up all of your important documents including pay stubs, taxes and the like. As these will need to be current, make sure you have everything on hand so that your approval process can go as quickly and smoothly as possible.
Closing Costs – Your lender will provide you with a “good faith” estimate of what your closing costs will be. It is important that you have these funds available but also have them ready in an account to pay when that time comes. It is a smart idea to prepare early enough to make sure you have what is needed.