Eight Steps to buying a home

1. Figure out how much you can afford
2. Shop for a loan
3. Learn about homebuying programs
4. Shop for a home
5. Make an offer
6. Get a home Inspection
7. Shop for homeowners insurance
8. Sign papers
9. Internet Links to other Information

Step 1: Figure out how much you can afford

What you can affored depends on your income, credit rating, current monthly expenses, downpayment and the interest rate. The calculator to the left can help, but it is best to visit a lender to find out for sure.

Step 2: Shop for a loan

Save money by doing your homework. Talk to several lenders, compare costs and interest rates, negotiate to get a better deal. Consider getting pre-approval for a loan.

Step 3: Learn about homebuying programs

FHA loan programs offer lower downpayments and are a good option for first-time homebuyers.

Step 4: Shop for a home

If you choose a home in a neighborhood with a Home Owners Association (HOA), be sure to request a copy of the HOA packet, so you can review before closing.

Step 5: Make an offer

Discuss the process with your real estate agent. If the seller counters your offer, you may need to negotiate until you both agree to the terms of the sale.

Step 6: Get a home inspection

Make your offer contingent on a home inspection. an inspection will tell you about the condition of the home, and can help you avoid buying a home that needs major repairs.

Step 7: Shop for homeowners insurance

Lenders require that you have homeowners insurance. Be sure to shop around.

Step 8: Sign papers

You're finally ready to go to "settlement" or "closing". Be sure to read everything before you sign.