Your Journey Home
Buying a home is one of the most exciting milestones of your life. To prepare yourself for this moment, you need to know what to expect during the process. This step-by-step guide created by our team will help reduce the stress of buying a home in Aspen, Colorado and help you enjoy the journey as much as possible.
Do you already know where you want to buy? Do you prefer a condo, townhome, duplex, or single-family home? What are your top 3 need-to-have's, want-to-have's and dealbreakers in a home? What’s available on the market now? If you don't have answers to any of these questions, now is the time to start researching and dreaming. In addition to looking for homes that interest you, also take note of market movements as homes go pending and then finally close. This could give you valuable insight into housing trends in specific neighborhoods and help you make smart decisions when the time comes to make an offer.
Notice we said to decide on your budget—not determine how much the mortgage company will give you. In many cases, a mortgage company will pre-approve you for more than you’re comfortable spending, which is why you need to determine the monthly payment you feel comfortable with before talking to a lender. This likely includes doing a full household budget and taking into consideration how much savings you will have left over after you put down your initial payment, and what changes other than a mortgage payment will occur once you move into your new home (buying furniture, etc.). If you’ve lived in an apartment or with roommates, you may overlook new expenses like garbage, water, or HOA transfer fees that could easily blow your budget. Many homes in Aspen, Snowmass and Basalt have unique transfer fees.
Just because you think you can afford a certain payment every month doesn’t mean the mortgage company will agree. Just as they may approve you for too large of an amount, they may also approve you for a lesser amount or deny you a mortgage altogether. Lack of time at a job, insufficient credit, past bankruptcies, or other financial issues can cause major problems when trying to secure a mortgage. Never load credit cards or buy a car when you are under contract. Before you get your heart set on a home, talk to a mortgage professional to find out what amount you can qualify for. This will also be an advantage when you make an offer on a home, as some sellers won’t entertain offers from those who aren’t already prequalified for a loan. We STRONGLY recommend working with a local lender based out of Aspen and the Roaring Fork Valley due to the unique nature of this area, and can happily make some recommendations for you to reach out to. We also recommend that you get fully underwritten in the event of a multiple offer scenario. If you are a cash buyer, this step in the process is not necessary, but we will need a legitimate proof of funds from a bank or financial institution.
Many people don't realize how much work real estate agents put in for you behind the scenes when working together. By signing a buyer's agency agreement early with us, not only will we help identify properties you might be interested in, arrange showings, handle the offer process, and negotiate on your behalf, but we also have a knowledge of the market that you don’t possess. If you commit to us, we commit to you. The Colorado State buyer's agency agreement outlines our fiduciary responsibilities to you. Finding the perfect home can be a daunting task, this is where our expertise and wealth of knowledge come into play. Let us show you around some homes that meet your dream home criteria so you can find the one that's right for you.
This should be the most fun step of the entire process (other than moving in!). We will set you up on a Compass Collection where we can collaborate and make notes about the homes you like and don't like on the Compass platform. We will also be sure to send you information about FSBO or off market pocket listings we know about. We will arrange showings of homes you’re interested in around Aspen and the Roaring Fork Valley, in neighborhoods you have interest in, that are within your price range. Take notes about what you like and don’t like, and make sure to pay attention to details. We can also coordinate virtual showings for you if you are out of state. Make sure to take time to explore the neighborhood and keep an eye on traffic at certain times of the day, drive by the home at night, monitor the parking situation, learn more about what the HOA fees cover, and how close the home is to necessities like schools, grocery stores, parks, and your commute times.
Once you have selected the perfect home, we will work with you to craft a fair offer based on the value of comparable homes on the market. Depending on what the home is listed at and whether the current environment is a buyer’s or seller’s market, your offer may be below, at, or even above the asking price. We will be able to help you negotiate if you receive a counteroffer and reach an agreement. This is our time to really shine for you and advocate on your behalf. Once we have a signed and countersigned offer by the seller, we will officially be under contract and move into the Pending process.
After you go under contract, you will review and sign many disclosures for the property, which we can guide you through. You will rate lock your loan with your lender. There will be lots of paperwork flying around. We will help you find a homeowner's insurance policy that is right for you. We can help you arrange inspection scheduling. Once the inspector sees the home and shares their reports with us, if there are no major issues, the process goes to step eight. More often than not buyers will ask for SOMETHING during the inspection process, because as we like to say, "ask and you shall receive, but if you don't ask, you won't receive". This is another part of the process where we will represent your interests and you can renegotiate your offer based on what needs to be fixed, or you can withdraw it and cancel the contract. If this happens, we go back to the home search part of the process.
Your lender will have your new home appraised so they have their independent value of it. The appraisal is to ensure that all parties involved are paying a fair price for the house. If there are issues on appraised value, we can help guide you through this process with your lender, the listing agent, and the appraiser with our amazing Aspen Appraisal resources.
No one looks forward to all the paperwork involved in buying a home, but it’s a necessary part of the process. Fortunately, everything will be arranged by your lender and title company. You will receive a Buyer's Settlement Statement at least 3 days before closing so you know how much you need to wire to the title company and will coordinate wire transfer instructions directly with your closer. We will meet at the title company office for closing documents, and once you’re finished signing all forms and the property is fully funded, you’ll be the legal owner of your new home and can move in at the agreed upon contractual possession date and time.
Stephanie & Erik of Avant Garde Aspen exude character, integrity, expertise, confidence, and diligence in their real estate approach. They are passionate about contributing to their local community and fostering heart felt connections with their clients. Reach out to buy, sell, rent, invest, and browse luxury resort and ski homes for sale in Aspen, Snowmass, Basalt, and the rest of the Roaring Fork Valley.
