Getting Started with Your Home Search

The home search process can seem daunting, but it doesn't have to be daunting – especially if you have a good team working with you.

Meet with the bank to get a “pre-qualified” or “pre-approval” letter indicating the mortgage amount you have been approved for. Be sure to discuss with a mortgage professional closing costs, tax escrow and any other important big ticket items you should be aware of as you figure out finances. Once you know how much cash you will be able to putdown (20% is a common benchmark in order to avoid PMI), be sure to take any necessary steps to free up that cash in anticipation of finding a house you love and wish to move quickly on. Generally your deposit (a portion of your cash down payment if not all of it) is handed over at contract signing and held by the seller’s attorney in an escrow account until the closing. You don’t have to put the full down payment into escrow but you will definitely need funds available and in a competitive market, the stronger the offer the better. So if stocks need to be sold or 401Ks will be accessed, it’s time to get that started so you are ready.

Find a qualified real estate agent who knows the areas you are interested in and is responsive to your requests for showings and follows up on any questions. Buyers do not pay commissions to agents—a sales commission is paid by the seller and shared by the listing and selling agent. Working with a buyer’s agent is a no-brainer: it costs you nothing. Buyer’s agents are there to make the process easier; they negotiate on your behalf, help facilitate the transaction(and the many milestones that need to be met in a timely fashion), and keep all parties in communication as the deal moves towards closing.

Once you are ready to look at homes, make a list of wants and needs, starting with most important to less important. Include number of bedrooms, number of bathrooms, style of home, distance from public transportation, amount of land, garage, swimming pool, renovated kitchen, etc. All of this info should be discussed with your agent, every bit of info helps inform the search.

Define your desired locations - Croton, Peekskill, Garrison, Cold Spring, Putnam Valley, Beacon, Poughkeepsie, etc. - and how close you want to be to stores, trains, restaurants. If commuting is part of the equation, a train ride to test the commute is an absolute must. Allow yourself to spend time in any potential towns you are considering. Housing stock is only one part of a greater equation. Hang out in the local coffee shop, stop by the library, go out for dinner, take a walk. Better yet, spend a weekend at an Air BnB. Can you see yourself calling this place home?