One of the most exciting, rewarding events in life is buying a home. But contrary to what you might have heard, buying a home doesn’t HAVE to be a frightening experience. In fact, it can be as easy as three easy steps.

Step #1: Know what you can afford. Don’t make the fatal mistake of finding a home before you look in your wallet! Ask the Realtor® you’re working with to suggest several lenders you can talk with about mortgages. Once you find a lender you feel comfortable with, ask to be pre-approved for a loan. While this will require that you share information about your debts, income, credit picture, savings and other assets, being pre-approved makes you virtually a cash buyer. This will go a long way in putting your best foot forward with sellers! In fact, the first question many sellers ask before reviewing an offer is "Has the buyer been pre-approved for a loan?"

After you have your financial resources lined up, it’s time for Step 2 ---finding the house! There’s a three-level approach I suggest here. Walk around, look around and ask around. "Walk around" the neighborhood looking and listening for handyman garages, barking dogs, and other concerns that could hinder your quiet enjoyment of the house. It’s good to visit the house several times during different days of the week---including the weekend. The quiet of Sunday morning may be replaced by the roar of rush-hour traffic and congested traffic patterns near the house!

Next, "look around" the area adjacent to the house. Does it show pride of ownership, or are there non-working cars or other debris that could harm the value of the house you’re interested in. Lastly, "ask around." Meet a few of the neighbors and ask them questions like: Would you purchase this home again? Why or why not? What do you wish you would have known BEFORE you purchased your home? Answers to questions like these can reveal problem areas in the neighborhood---as well as check the satisfaction level of the neighbors you’ll be living next to.

Be sure to check out crime in and around the neighborhood before making an offer. This can usually be done by calling the information officer of the local police or sheriff’s office. Additionally, they may be willing to visit the property to perform a safety check to determine loose window screens, good visibility to parking and walk ways, plus access routes in case of fire.

Step three often appears the most "mysterious" since much of it is done behind the scenes by the Realtor®, lender, title company and other professionals. Being pre-approved for the loan means that much of the loan application work has already been done. A word of caution here---be sure NOT TO CHANGE A THING in your financial picture once you’ve been pre-approved. To do so could disqualify you from the loan you’re applying for.

In step three, the appraisal will be ordered, the inspection completed, and the loan will be underwritten to make sure you meet the guidelines. Since many mortgages are sold to the secondary market, the underwriter makes sure that your qualifying profile fits those guidelines. If your loan requires private mortgage insurance, it will be shopped for by the lender at this time.

We’re rounding the final bend of your purchase. Several days before closing, the title insurance policy will be ordered, settlement papers will be drawn by the closing agent, and you’ll be asked to secure homeowner’s insurance and bring receipt of a paid policy to closing.

Also at this time, you’ll do what’s called "the final walk through" of the home you’re buying. Accompanied by your Realtor®, this is your last chance to make sure that everything is the way you saw it when making the offer. You may want to move throw rugs out of the way, check serial numbers on appliances that remain in the house, plus note any changes (other than normal wear and tear) that have appeared since making your offer. This is your last chance to review the property and accept it prior to closing and taking possession.

One business day before closing, you’re allowed to review the closing papers and settlement statement and question anything you don’t understand. You’ll also be informed of how much you need to bring to closing (in a cashier’s check.) After you’ve signed the mountain of closing papers required, you’ll receive a preliminary copy of the title report, papers for any warranties or appliances that go with the home, as well as important items like keys, garage door openers, so on.

You’ve done it----the house is yours! Now you just have to find someone to help you move!

This series is sponsored by the Virginia Real Estate Education Foundation.