There are several moving pieces involved in selling or buying a house. Banks and financial institutions are involved, legal representatives arrive to appraise the land, and insurers review the risk and value of the space.
With so many people and organizations to work with, it can be hard to keep up with everything and everyone. Use this handy guide as you start the home buying process.
Here are six people involved in a real estate transaction who you will have to work with.
#1) Mortgage Lender
Before you can even start the process of buying a house, you need to involve your bank, financial advisor, and mortgage lender.
A mortgage lender is often an institution, rather than a person, who serves to provide you with the loan you need to buy your new home.
Once you complete the home buying process, you will make your payments to this mortgage lender. You may also encounter job titles like a mortgage banker, loan officer, or loan consultant as you look to get a mortgage. These are similar titles to that of a mortgage lender and the people behind them work to figure out what loan you can afford and what financial institutions are willing to offer you.
This is the person who is going to help you buy your home. They are trained professionals who are licensed to sell homes and have significant experience in the real estate market.
During the home buying process, a Realtor® will help you gather your paperwork and work through each step of buying a home. They will also help you look for homes by contacting other Realtors® for showings and open houses as well as negotiate prices and determine how flexible or motivated a seller is.
This will make it easier for you to find your ideal home and successfully buy it.
#3) Home Inspector
When you are interested in a particular house, you will call a home inspector to check it.
This person is trained to evaluate the safety of a house from the electrical wiring to the plumbing to the foundation. They will identify any risks that come with buying the house and any repairs costs that will likely come up in the future.
The purpose of a home inspector is to make sure the buyer doesn’t get tricked into buying a home that they think is in good condition that actually has several hidden problems.
#4) Home Appraiser
A home appraiser is significantly different from a home inspector.
This person is meant to identify what the house is worth to make sure that it is sold at a fair price. They review the home itself and compare it to others of similar market value to determine the best price.
This process is meant to protect the buyer so they don’t overpay for space and know the appraised value. The seller also benefits from knowing they aren’t underselling their home.
#5) Title Company
A title company or a settlement agent will review the public records to make sure the home can legally be sold from one person to another. This ensures that the person selling your home is the true owner or legally allowed to sell it (in the event that it was passed down through a will or given away).
The settlement agent will also be there during the closing process when you sign the final documents and transfer the deed to the home from one party to the next. By that point, all of your information should be in order, you should have an approved mortgage, and both parties should have agreed on a price.
#6) Insurance Agent
As you wrap up your home buying process, you will contact an insurance agent who can help protect your home in the event of damage, flood, or personal injury.
They will ask you questions about your home and look at its features to determine a fair insurance price. You will likely talk with multiple insurance providers before you find one that meets your coverage and budget needs. You worked so hard to find and buy a house, the last thing you want is for something to happen to it without coverage.
Get The Best People Involved in Your Real Estate Transaction
You come into contact with so many people during the real estate process that it’s hard to choose the right people and partners. Often, you end up relying on your real estate agent to find the top people for the job.
That means the best chance you have to work with the top mortgage lenders, appraisers, insurers, and others involved with your real estate transaction is by working with top Realtors®.
You can find those top Realtors® using Effective Agents. We have a dedicated algorithm that uses several criteria to match you with the best, most experienced Realtors® in your area. We’ll help you find a good fit so you can move forward with the buying or selling process knowing you are in the best hands with everyone involved in your real estate transaction.