Long Island First Time Home Buyer Checklist

🏡 Long Island First Time Home Buyer Checklist 🔑

Phase 1: Financial Preparation & Budget Finalization 💰

• Step 1: Decide to Buy a Home. 🎯

• Step 2: Assess Your Finances & Estimate a Comfortable Budget. 📊 Review your credit, savings, debts, and income to get a preliminary idea of a monthly payment you would be comfortable with.

• Step 3: Gather Financial Documents. 📁 Collect your pay stubs, W-2s, tax returns, and bank statements.

• Step 4: Apply for Mortgage Pre-Approval. ✍️ Submit your documents to a mortgage lender for verification.

• Step 5: [DECISION POINT] Are you pre-approved? ✅

  • If YES: The lender provides a pre-approval letter stating the maximum loan amount. A crucial part of this calculation for Long Island is that the lender must account for estimated property taxes for the areas you're considering, as this heavily affects your total monthly payment (PITI - Principal, Interest, Taxes, Insurance) and overall affordability. -> Proceed to Step 6.

  • If NO: The lender will explain why. Work on improving your finances (e.g., pay down debt, fix credit issues) and then return to Step 2.

• Step 6: Finalize Your Purchase Budget. 📝 Your working budget is now set. It should be an amount you are personally comfortable with, not to exceed the pre-approval amount.

Phase 2: The House Hunt 🕵️‍♂️

• Step 7: Hire a Real Estate Agent. 🤝

• Step 8: Define Your Needs & Wants. 🗒️

• Step 9: Search for Homes and Visit Properties. 🚗

• Step 10: [DECISION POINT] Have you found a home you love? ❤️

  • If YES: You are ready to make an offer. -> Proceed to Phase 3.

  • If NO: Continue searching.

Phase 3: Offer, Inspection & Contract (The Long Island Way) ⚖️

• Step 11: Make an Offer. Your agent submits an offer on a "binder" or offer form. The seller verbally or informally accepts the price and terms. This is not yet a binding contract.

• Step 12: Conduct the Home Inspection. You hire an inspector to examine the property.

• Step 13: [DECISION POINT] What to do after the home inspection? 🤔

  • If the inspection is satisfactory: You are happy with the home's condition and decide to proceed. -> Go to Step 14.

  • If the inspection reveals issues: You have several choices:

    • 1. Negotiate a Solution: Work with your agent to ask the seller for a price reduction, a seller's credit, or to have the seller make specific repairs.

    • 2. Accept As-Is: If the issues are manageable, you can proceed with the original deal.

    • 3. Walk Away: Since you are not in a binding contract, you can withdraw your offer.

• Step 14: Hire Real Estate Attorneys. 🧑‍⚖️ Once the terms are fully agreed upon post-inspection, both you and the seller engage your own attorneys.

• Step 15: Sign the Formal Contract of Sale & Pay the Contract Deposit (Earnest Money). After attorney negotiations, you sign the legally binding contract and pay the deposit (typically 10% on Long Island). You are now "in contract."

• Step 16: Formally Apply for Your Mortgage & Get an Appraisal. With the signed contract, you finalize your loan application, and the lender orders the appraisal.

• Step 17: Secure Final Mortgage Approval (Commitment Letter). 🎉

Phase 4: The Closing 🏁

• Step 18: Shop for Homeowner's Insurance. 🛡️

• Step 19: Review Closing Figures & Documents with your attorney.

• Step 20: Do a Final Walk-Through.

• Step 21: Attend Closing. ✒️

• Step 22: Get the Keys! 🔑 Congratulations!

A Guide By:

Thomas Brady SFR, e-PRO, SRES, BPOR, C-REPS

Licensed Associate Real Estate Broker/ Director of Operations Notary Public, Retired N.Y.P.D. Lt., U.S. Air Force Veteran

Vintage American Realty LLC. 1551 Montauk Hwy. Suite E

Oakdale, NY 11769

📞 631-682-8660 📧 TomBradyHomes@Gmail.com 🌐 VintageAmericanRealty.com