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The purpose of this guide is to provide insights, tips and

simple exercises to help you find the home that’s right for

you—whether it’s your first home or your fourth home.

Ditto if you’re upsizing, downsizing or buying an

investment property.

It doesn’t matter whether you’re looking for a

condominium or a luxury estate, the buying process can

trigger a rollercoaster of emotions—from the rush of "this

is it" to the surges of uncertainty along the way. The key is

to balance your emotional responses with a rational

analysis. And that’s where this guide comes in.

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Before you start your actual home search, you should understand

what you’re looking for, so you can set reasonable expectations.

Here are a few questions to consider:

• Are you interested in a single-family house, patio home,

townhome or condominium

• Do you want single-level living or is more than one level OK?

• How many bedrooms and bathrooms do you need?

• What size home (square footage) are you looking for?

• How much updating/renovating are you willing to do?

• How many parking/garage spaces do you need?

• What areas best fit your needs and lifestyle?

• Does your commute time matter?

• Are you OK with communities that have HOA’s?

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To make sure you’re not setting yourself up for disappointment, it’s important to:

Be realistic in your expectations . Are there certain amenities you want, such as a swimming pool

and/or spa, an office, family room, vaulted ceilings or large lot? Write down everything you're

looking for, and then accept this simple fact: No one house is going to have everything you want.

Unless, of course, you’re building a custom home. That’s why you need to create a wants & needs

list. On one side, put down all those features and amenities you’d like to have, but that aren’t deal

breakers if you don’t get them. On the other side, jot down those things you absolutely, positively

must have. Then bring the list with you when you preview homes. It will help make the selection

process a little easier.

• Know what you’re willing to spend.

• Find out how much you qualify for if you’re getting a loan.

• Get a pre-qualification letter from your lender.

• Make sure you have enough money for the down payment.

• Factor in closing costs and other expenses that come with buying a home.

The last point is particularly important, because while buyers don’t generally pay their agent’s

commission there are still many costs associated with buying a home. Have your agent or lender

provide an overview of your closing costs. You need to know what these expenses are, and make

sure you have the funds to pay for them BEFORE the closing.

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Although time of year can influence house prices,

there is no set month that is the best time to buy.

Here in Arizona, “Snowbird Season,” has

historically been when the demand for housing is

highest, but with the increasing population,

evolving demographics, and fluctuations in supply

and demand, that’s not always the case anymore.

The simple answer is, the best time to buy is when

you’re ready. That’s because everyone’s situation is

unique. The two major things that could factor into

your buying decision are your personal

circumstances and current market conditions. For

example: Are you starting a new job? Moving cross

country? Need to be settled before school starts?

Market conditions, such as interest rates, economic

trends, average days on market, and whether it’s a

buyer’s market or a seller’s market may also factor

into your decision.

According to the Home Buying Institute (HBI),

home buyers who enter the market in 2020 and 2021

could have more properties to choose from

compared to the last couple of years. The general

consensus among economists and analysts is that

prices in the area will continue to rise over the

coming year, but probably at a slower pace.

However, like the stock market, the housing market

can change in a heartbeat. That's why it’s a good

idea to work with a real estate agent that can help

you navigate the process, provide vital market

information, and negotiate the best deal on your

behalf.

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The best place to buy is the place that meets your

needs, wants and lifestyle. Do you want to be close

to all the action, or out in nature? Do you feel

most at home in metro Phoenix, Scottsdale or one

of the outlying areas, such as Fountain Hills or

Tempe? Aside from school district or needing to

be near a loved one, you may not know exactly

where you want to be. There are all kinds of

opportunities and neighborhoods to choose from,

so it can get a little overwhelming. If you’re not

sure where to begin, your agent can help you

explore your options.

There are certain things your real estate agent

cannot discuss with you. In fact, it is “illegal” for

them to make any comments or answer any

questions regarding race, color, religion, national

origin, sex, disability and familial status relating

to any areas or neighborhoods. It's up to you to

do your homework and form your own opinions.

Take some time to walk around the neighborhood,

have dinner at a local restaurant, talk with

residents, and if you see the mail delivery person,

stop and chat. Spending time in an area is the best

way to get a feel for it.

If you’re concerned about neighborhood safety, you can contact the local police department to request crime stats. You may also want to check out: Familywatchdog and Spotcrime. If you’re wondering about schools, GreatSchools is a good resource.

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If you plan on getting a loan to buy your home, the first thing you should do is get pre -approved,

and have your lender provide a pre-approval letter. Ideally, you should do this before you begin your

home search. This shows the seller that you’re serious about buying, and that you’re financially

qualified to buy their home. A pre-approval letter can help give you a better chance of getting the

home of your dreams—especially if there are multiple offers, or you’re competing against an all -

cash offer.

Make sure you answer all of the lender’s

questions and provide them with everything

they ask for (bank statements, tax returns,

paystubs, etc.). Be upfront about your financial

situation. Remember, they’re on your side and

want nothing more than to help you secure your

dream home.

That being said, there are many lenders out

there. Trying to sift through them all to decide

which one is best for you can get

overwhelming. Start by asking your agent for

some suggestions. They generally have

relationships with several mortgage lenders

and are in the best position to offer a

recommendation. Having a lender and real

estate agent who have a great working

relationship can help minimize stress and

confusion. However, keep in mind that you are

not required to use any lender your real estate

agent recommends. The choice is yours.

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According to the National Association of REALTORS®, 87% of buyers purchased their homes

through an agent or broker. One of the greatest real estate myths out there is that you can

save more money when purchasing a home on your own. Statistically speaking, most buyers

will end up paying more for a home without the expertise and negotiation skills of an

experienced licensed REALTOR®.

In almost all home buying scenarios, the seller pays for the buyer's real estate agent's

commission. That means, as a buyer, you don't pay anything to have a real estate expert in

your corner. Another misconception is that the seller will give the buyer a better deal if they

don’t have to pay the commission for the buyer’s agent. The commission is a part of the

contract signed by the seller and the selling agent's broker. Unless the seller and their agent

have agreed to a lower rate, the full commission goes to the seller’s broker.

There are many steps involved in buying a home. The most important one is finding the right

properties in the right areas at the right price. Your real estate agent has access to the

Multiple Listing Service (MLS), which is an online database that gives them access to every

home in Arizona that has been listed by another real estate agent.

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Although there are many consumer sites you could use, (Realtor.com, Zillow.com, Trulia.com

etc), the Multiple Listing Service is the most detailed and up-to-date database of all available

homes. You should also know that many online property search sites aren’t updated on a

regular basis, so the home you fall in love with may no longer be available. Bottom line: The

more accurate the list is, the less likely you are to be disappointed.

Once you’ve determined what you’re looking for as far as the number of bedrooms, bathrooms,

size and other specific features, your real estate agent can do a search on the MLS and provide a

comprehensive list of available homes that meet your specific criteria. If there are homes you’d

like to see, your agent can arrange a private showing.

Here are additional steps associated with closing on a home:

• Opening escrow

• Getting a title report

• Ordering a termite inspection

• Scheduling a home inspection

• Setting up utilities

• Securing homeowners insurance

Work with a REALTOR® for added peace of mind. A real estate agent that belongs to the

National Association of REALTORS® is a designated REALTOR®. As such, they subscribe to

the REALTOR® Code of Ethics, which has 17 Articles they adhere to when working with

buyers and sellers. Bottom line, a REALTOR® pledges to always put the interests of their

clients above their own.

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