Our First Home

We began the search for our first home in May of 2009.  Over the course of the next 11 months 2-4 properties would hit the market every several weeks.  We probably submitted about 10 offers and never was accepted as the primary offer.  We were accepted for a couple as backup offers but nothing ever came of it.

Finally, we put an offer on a property on April 17 2010 and it was accepted by the sellers. Here are the steps once the offer is accepted.

  1. Submit offer Saturday April 17 2010.
  2. Seller’s accept (jump to 4) or counter offer on Monday April 19 2010 and we accepted and signed counter offer.
  3. Seller signs counter offer April 20 2010.
  4. (optional if necessary) Initiate loan from 401k April 21 2010. I had added our checking account as an account on our 401k so I could request a loan online and have it be all electronic.
  5. FedEx down payment to Escrow company Thursday April 22 2010.
  6. Schedule an appraisal and home inspection. Ideally you would want to schedule the home inspection after the appraisal has come back verifying that the home is worth what you are requesting for the mortgage.  In the crazy economy we bought in we scheduled the home inspection first.
  7. Scheduled the home inspection for Saturday May 1st 2010.
  8. Now the request for paperwork begins. Everything from verification of employment, to taxes to identification.  A never ending process of paperwork. Both my husband and my incomes were less in 2009 than 2008 so we had to provide paperwork explaining why our incomes decreased as well.  My income was due to a UC wide furlough that was done for the fiscal year 2009-2010.
  9. Call insurance company and get phone and fax information so loan officer can send a request for proof of coverage for Home Owners Insurance which includes fire insurance and hazard insurance.
  10. Since we purchased our home from investors, it was a flip, we had to resign the contract and the counter offer and re-date it to April 28th 2010 so that we wouldn’t have to pay for 2 appraisals.  If a property is owned less than 90 days some lenders require 2 appraisals.  Not sure why but we still qualify for the $8k Federal tax credit so that was good.
  11. In addition we had to switch lenders from one to Wells Fargo since the other lender was going to require extensive receipts for the remodel of the home.
  12. Scheduled appraisal on May 26th 2010.  Escrow company signed off on the appraisal on May 27th.
  13. Scheduled a final walk through on June 1st 2010.
  14. In our case, escrow was delayed due to the fact that the seller’s agent had a common name and it was blacklisted through HUD lending so we had to wait for the seller’s agent to send a copy of his DL to HUD
  15. Loan was cleared to close through Wells Fargo on Monday June 7th 2010.
  16. Signed official loan documents on Tuesday June 8th 2010.
  17. Wired the remainder of the closing costs to escrow on June 8th
  18. Funding was delayed due to Wells Fargo claiming they didn’t receive paperwork sent by our lender on Wednesday till Thursday so now funding is scheduled to occur on Monday June 14th 2010
  19. It will be recorded Tuesday June 15th 2010 and we will receive the keys to our first home.

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