Understanding the Home
Buying Process
Buying a home can feel complex — but it doesn't have to be. Knowing what to expect at each stage, and in what order things typically happen, puts you in control from the start. Here's how the process works in most Florida residential purchases.
The Purchase Process, Step by Step
Mortgage Application
Start here — before you begin shopping. A pre-approval establishes your budget, strengthens your offer, and lets your loan officer identify and resolve any issues early. You'll complete a 1003 application and authorize a credit pull.
Real Estate Contract
Once you find a home and your offer is accepted, a purchase agreement is signed by both parties. This contract sets the price, contingencies, and closing timeline — and officially kicks off the rest of the process.
Property Inspection
A licensed inspector examines the property's condition — roof, HVAC, plumbing, electrical, and more. Results may be used to negotiate repairs or credits with the seller before moving forward.
Appraisal
Ordered through an Appraisal Management Company (AMC), the appraisal confirms the property's market value for the lender. If the appraised value comes in below the purchase price, this may require renegotiation. Typically takes 7–10 days.
Mortgage Underwriting
The underwriter verifies all documentation — income, assets, credit, and the appraisal — and issues a final loan decision. Conditions may be required before a Clear to Close is issued.
Homeowners Insurance
Lenders require proof of a homeowners insurance policy before closing. In Florida, you'll also want to review flood zone status — flood insurance may be required or strongly advised depending on the property's location.
Closing
The final step. You'll review and sign the closing disclosure, pay any remaining closing costs, and receive your keys. The title company coordinates funds and records the deed — making you the official owner.
Common Purchase Loan Types
Conventional Loan
Not government-backed. Typically requires 3–20% down and strong credit. Best for buyers with solid income and credit history who want flexible terms.
FHA Loan
Insured by the Federal Housing Administration. Down payments as low as 3.5% with more flexible credit requirements — a popular choice for first-time buyers.
VA Loan
Available to eligible veterans, active-duty service members, and surviving spouses. No down payment required and no PMI — one of the most powerful loan programs available.
USDA Loan
Backed by the U.S. Department of Agriculture for eligible rural and suburban properties. No down payment required for qualifying buyers and locations.
Jumbo Loan
For loan amounts above conforming limits (currently $806,500 in most of Florida). Requires stronger credit, larger reserves, and typically a higher down payment.
Non-QM / Portfolio
Alternative programs for self-employed borrowers, investors, or those with complex income. Bank statement loans, DSCR loans, and asset-based lending all fall here.
Ready to get started?
Let's talk about your purchase goals.
