Building Your Homebuying Dream Team

There are a lot of moving parts when it comes to the home purchasing process. The great news is, you do not have to handle it all alone. From finding your dream house to acquiring a mortgage loan, you will meet a number of experts along the way who can help you on your journey to becoming a homeowner.

But building your homebuying dream team does not happen overnight. Your specialized team of experts each has their individual part to play, and it is important to take the time to interview and select the right person for each position. In this article, we will explain each member of your homebuying team and how they can help you achieve homebuying success.

Who should be on your homebuying team?

You will be required to select or hire various home experts to ensure your homebuying process goes as smoothly as possible. Each role is different. However, all are equally important. Your homebuying team members will work directly with you and each other, so it is important to choose reliable, experienced individuals.

So, where do you start? First, it is important to know each of the positions you will need to fill. Your homebuying dream team should include the following experts:

• A real estate agent
• A real estate attorney
• A trustworthy mortgage lender
• A home inspector
• A home insurance agent
• A home appraiser

Now that you know who to look for, let us dive into the specific function of each expert and how they play a role in your search for a new home.

Your real estate agent

Though everyone on your homebuying team plays a vital role, many homebuyers will agree that your real estate agent is one of the most important people involved in the homebuying process.

A real estate agent is a licensed professional. They are in charge of connecting buyers and sellers, arranging property transactions and tours, and providing a network of home experts for you to utilize. They will also act as your representative during negotiations.

What does a real estate agent do?

Typically, there are two different agents involved in a home purchase—the seller’s agent and the buyer’s agent. As the homebuyer in this scenario, your agent will work with you to determine your non-negotiables list for your future home. It is then their job to use their expertise and real estate connections to search for promising properties that match your price range and wish list. They will arrange walk-throughs and, once you have found a home you love, your agent will research comparable homes to help you create a realistic offer.

Your agent will play an integral role in your home search and the purchase contract negotiations. It is important to take your time interviewing prospective candidates—you will want someone who has extensive market knowledge and experience in the area you are interested in moving to.

Your real estate attorney

Whether or not you will need to include a real estate attorney on your team will depend on the state in which you are buying a home. If you are purchasing a home in New York, Massachusetts, North Carolina, South Carolina, or West Virginia, then state law will require that you retain a real estate attorney to handle certain parts of the transaction.

Purchasing real estate does not involve going to court, but your real estate lawyer will prepare or review every document related to the home purchase. This includes the contract, additional agreements with the seller, lender documents, plus title and transfer documents. The purpose of having an attorney handle things like the title searches and title insurance is to ensure that there are no outstanding claims or liens against the property.

All in all, a real estate attorney is there to provide you with help should any legal problems arise that could potentially hold up the sale.

What does a real estate attorney do?

• Legally authorized to prepare and review documents and contracts
• Explain legal implications and provide advice based on their experience
• May be in charge of leading or overseeing the closing
• Represent the interests of the buyer throughout the process
• Provide peace of mind in case any tricky or legal situations arise

Your mortgage lender

Once you have your keys in hand, the relationships you create with your homebuying dream team will reach their end come closing day. However, depending on your loan term, you will be working with your mortgage lender and making payments for up to 30 years. That’s why it is so important to take the time to shop for a great mortgage lender.

Just like house hunting, choosing a mortgage lender takes time and careful consideration. There are a number of lenders to choose from, and there is more to consider than simply finding someone with great rates. It is important to keep in mind that not all lenders are loan servicers. Some lenders will service your loan themselves, while others may have another company service it.

Having an idea of the type of mortgage you’re interested in can help you narrow down your list before applying for pre-approval. You will also want to consider the type of lender that will be suited to providing for your needs. It is always best to shop around and consider every option—the ultimate goal is choosing a mortgage lender who is able to provide the best services for your homebuying needs.

What does a mortgage lender do?

• Provide financing to buy, build, or renovate a property
• Assess your ability to repay the loan based on your credit and finances
• Determine how much you are qualified to borrow and at what interest rate
• Help you decide what type of loan is best for your unique situation

Your home inspector

Another licensed professional you will need on your homebuying team is a home inspector. They will be a valuable asset to a smooth purchasing process. Their job is to inspect the property you’ve chosen and to point out any defects that may be present in the home prior to your decision to buy it. This will protect you from buying a house that comes with costly repairs down the road.

Your home inspector will compile their findings in a report and walk you through any potential issues they noticed—big or small. Professional and experienced inspectors will be able to show you problem areas, explain how they may be fixed, and offer their opinion on moving forward with the home purchase. As the buyer, you will most likely be responsible for the cost of the home inspection, so it is important to hire the right inspector for the job. Your real estate agent should be able to offer you recommendations based on inspectors they have worked with on previous home sales. You can also conduct your own research or ask family and friends.

What does a home inspector do?

• Inspect the property from top to bottom, inside and out, including:
  • Basement and attic
  • Electrical system
  • Plumbing, Bedrooms
  • bathrooms, and kitchen
  • HVAC system
  • Foundation inspection
• Provide an extensive report based on inspection
• Indicate any issues, big or small, prior to your decision to move forward with the home purchase

Your home insurance agent

A home insurance agent helps their clients secure homeowners insurance with policies in place that reflect budgets and needs. For the most part, it is their job to help you find and work with an insurance company, ensuring you understand your policy options to find the best one for your situation.

While you have a number of national and local insurance companies to choose from, it will be important to consider those with expert knowledge on local insurance regulations and weather conditions. A good home insurance agent will walk you through different quotes and help you decide on the best possible policy.

What does a home insurance agent do?

• Explain potential plans and policies
• Research different insurance companies to find the best policy for your needs

Your home appraiser

Yes, home inspections and home appraisals are different—and both are equally important. Your home inspection will take place first and indicate potential problems in the property that may result in costly repairs. If no major issues are noted during inspection, then it is the home appraiser’s turn.

A home appraiser will be sent in to look at various factors of the property and determine the home’s value. Rather than checking every detail, your home appraiser will be checking the functionality of the home’s main systems. Mortgage lenders will not approve or lend you money for a home that is not worth as much as you’re asking for, so it is imperative to hire an experienced appraiser you can rely on to get their report in on time.

What does a home appraiser do?

• Appraise the property based on the home’s functionality, number of rooms, and square footage
• Determine the home’s condition and value
• Create a report for you to provide to your mortgage lender

Be thorough with your team building

Buying a home is exciting, but the process to getting your keys can be lengthy and feel overwhelming. However, taking the time to build your homebuying dream team will go a long way in providing peace of mind. It may take research, but once the key players fall into place, you will be able to shop confidently and secure a home that’s right for you. Good luck and happy homebuying!