Steps on buying house and lot....

Step 1: Go shopping for a mortgage.

Step 2: Find a good lawyer.

Step 3: Find out what houses are selling for in your area – and how much you’ll have to pay for what you’re looking.

Step 4: Come up with a down payment – usually 15-20 percent of that price.

Step 5: Find an agent.

Step 6: Now find your new home. (Pick up at Step 3 were you left off.)

Step 7: Wait for a reply. If you’ve bid lower than the asking price, expect a “counter offer” higher than your bid. This can go a few rounds until you settle on a price.

Step 8: Once your offer is accepted (congratulations, by the way), you may be asked to put down a “binder” (a deposit of, say, one percent) until the contract is signed; some states give you a grace period of a few days to change your mind and walk away form the deal. Or you may go straight to contract.

Step 9: Call your lawyer. The seller’s lawyer will send the contract to your lawyer for review. Read it carefully yourself.

Step 10: If it all checks out, sign the contract and hand over a big check – usually at least 10 percent of the cost of the house, depending on the terms of the mortgage.

Step 11: Submit your mortgage application, along with an application fee. If possible, get the lenders to “lock” your rate until the closing date. By law, lenders are required to give you an estimate of all closing costs.

Step 12: Show up at the closing and sign the papers. Don’t forget to bring lots of blank checks: you’ll usually have to write separate checks for each of the closing costs. If you’d like, you can also ask to hold the bank check for the purchase price before handing it over to the seller. It’s probably the biggest check you’ll hold in your life.

source:www.msnbc.msn.com