What The Home Buying Process Really Looks Like

The best I can say is both reasons have similarity. I left Buffalo because of weather and I went to Florida because of weather. However, I did take a side trip to California. I spent a couple of years there. Basically what took me to all these places was a job. I ended up in West Palm Beach and then Miami.

Back when I came in the seventies, there was a big immigration to Florida for retirees. Everyone was going there because of that. Real estate was booming and properties were selling. Looking back, of course, we all say should have, would have, could have. The prices then versus now. I think that was the biggest reason, that and opportunities in Florida.

When I started, you had floor time. People called offices and came into offices. It was much more personal. You met a lot of people. The real estate offices put pictures of their properties in the windows. Our big source was advertising in newspapers back then. That was our only source. If you really had a big piece of property, you put it in The New York Times if you wanted to bring people into Florida.

We did not have the computer for that. We did not have Zillow. It was word of mouth. Getting the real estate company out there and signage were huge. Realtors always kept signs in their cars. We had the old-fashioned bus stop seats. Any place you could advertise, your broker took that opportunity. There were strict rules on who could advertise and how you advertised.

It was not as easy, but for some reason it was much more personal. You built a relationship. Once you got a client, you kept that client. Today, Zillow, Redfin, and Realtor.com make it very different. As a listing agent, you buy that space on Zillow, but other realtors can advertise in that space. Back then, you got one realtor and stayed with that realtor. That client did not go elsewhere. That is not the way it is now.

The tools have changed, but the job is still to build a relationship, understand the buyer, and keep the deal moving from the first serious conversation to the keys. Here is the process I want buyers to recognize before they start.

1. Begin with the money, not the listings

Start with a real mortgage preapproval. A lender reviews income, debts, assets, credit, and documents to estimate what you can borrow. A prequalification may be a quick estimate based largely on what you report. A preapproval is the stronger starting point because the lender has reviewed more of the file.

Use that number as a ceiling, not a shopping goal. Add taxes, insurance, association dues, maintenance, and the cash you want to keep after closing. A seller will also take an offer more seriously when the financing work has already begun.

2. Decide what is necessary and what is merely lovely

First-time buyers are understandably excited, but their wish list is often unrealistic for their budget. If you have five hundred thousand dollars and want everything, it is not going to happen. You have to decide which things matter most.

For older people, the blind spot is that they fall in love with a property that is two stories or three stories. If you buy a townhouse, it could be three stories. They want to see it because it looks so great. If it has an elevator, great, but a lot of them do not have an elevator. You cannot always put one in because you need significant space. If they fall in love with a two-story place and they are sixty or sixty-five and have just had knee surgery, you have to let them know they might have an issue with the steps.

Get that out to them when you first meet them, or after the first showing. You do not want to waste their time or your time by showing places they should not be buying.

Right now in Miami, for a three-bedroom, two-bath that you do not have to do any work on, and I am not talking about the beach, it is going to be in the sevens or eights. Way west. Everglades. With the alligators.

Write down the must-haves, the nice-to-haves, and the things you cannot accept. Then revise the list after the first few showings. Buyers learn quickly once rooms, neighborhoods, commute times, insurance estimates, and actual prices replace the photographs on a screen.

3. See enough homes to understand the tradeoffs

I am careful about showing too many properties at once. Seven can already be too much. Print a listing sheet or keep a note for each property, because otherwise it becomes a blur, especially when you are seeing several condos in similar buildings.

Write down the light, noise, layout, condition, monthly fees, parking, storage, and the one thing you would change first. A beautiful photograph will not remind you which building had the coming assessment or which bedroom faced the elevator.

In the old days, I used to show seven properties. It is too much. You have got to limit your time because it gets confusing. If you do show that many properties, print out a listing sheet. Have the buyers take notes, or take notes for them, so they know what they saw. Otherwise, it becomes a blur, especially with condos. It is very easy to show a lot of condos because you are in buildings.

If a house is vacant, you can stage it in the online photographs as long as you say it has been staged. Take those photos to the showing. Then you can stand in the room and say, see how this could look? Visualize the sofa here. Are you bringing furniture or buying new furniture? Let them visualize what that room could be.

People do not use rented staging furniture as often anymore because it costs money to deliver and rent. And what if they stage it modern or contemporary and the buyer says, I hate that furniture? That is what the buyer is going to remember. You have got to improvise. The before-and-after photographs can look great, and it is easy.

4. Build an offer around more than the price

Your agent should review recent comparable sales and the seller’s situation before recommending a price. The offer also includes the deposit, financing terms, closing date, and contingencies. In a competitive market, clean terms matter, but do not waive a protection you may need simply to make the page look stronger.

If the seller counters, decide from the numbers you established at the beginning. The goal is not to win an argument. It is to buy the right property on terms you can live with.

It is a much more educated buyer now because they can get everything online. But the educated buyer is still at times not realistic about the price. In the old days, you could start one hundred thousand or two hundred thousand under asking. It is not going to happen anymore unless the price is totally ridiculous and the comparables support it. Your negotiation is not going to be as effective as it used to be.

5. Under contract means the real work has started

After acceptance come inspections, insurance work, the lender’s appraisal, title review, and final underwriting. In Florida, the insurance conversation can include a general inspection, a four-point report, wind-mitigation information, roof age, flood exposure, and proof that coverage can be bound.

For a condominium, read the association documents, budget, reserves, rules, restrictions, and information about assessments. The lender may review the building as well as the buyer. Start association applications early and ask what must be complete before an interview or approval.

An appraisal protects the lender’s collateral; an inspection evaluates condition. They are different reports with different purposes. If the appraisal is low, the parties may renegotiate, split a gap, bring additional cash, or use the contract terms that apply to the situation.

Buying a fixer-upper today is much harder than it was even ten years ago, especially in South Florida. If a kitchen once took eight to twelve weeks, expect roughly twice that—and sometimes longer.

As far as a buyer, know that. If you go into some place that is a good price, and of course it is reflected because it needs work, make sure you take all that into consideration with your funds, with your budget, and get prices. Before you sign on the dotted line, I would bring in a GC and say, what is this going to cost?

Buyers are already buying high. They are paying high interest rates, plus your taxes, and then you are going to be paying triple of maybe what you thought you were going to do to fix it up. You need to be more educated as a buyer. If you are going and paying top dollar for something totally done, what you see is what you are going to get.

6. Underwriting can feel quiet even when it is moving

The underwriter reviews the entire file and may request updated statements, pay stubs, explanations, or proof of a deposit. Respond quickly and do not create a new financial story during this period. Avoid opening credit cards, financing furniture or a car, moving large sums without documentation, or changing jobs without discussing it with the lender.

Conditional approval means the lender still needs listed items. Clear to close means the final conditions have been satisfied. Keep every request and response in one folder so the same document can be found twice.

7. Read the final numbers and do the walkthrough

Compare the closing disclosure with the earlier loan estimate. Ask about changes before signing day. Confirm wire instructions directly with the title or closing company using a trusted phone number; real-estate wire fraud is real.

During the final walkthrough, confirm that the property is in the agreed condition, included items remain, and negotiated repairs were completed. Then comes the signing, funding, recording, and the keys.

With moving, it depends upon the budget. Some people get a moving company and have them pack and unpack. If you are not in that price range, get organized. Weed out your cupboards. Weed out your closet. Take the things you want. Some things you can put in your car or SUV and take to the new place. Put things in the closet. That saves expense.

If your budget is tight, try to move as much as you can. Pack your things, but do not just throw them in a box. Go to the storage place, buy the paper, buy the boxes. I have done that in the past. I have taken clothes in an SUV, laid them down, and hung them up when I got there. Again, that is budget related.

I feel you have got to like people. You have got to like to really get involved in what they need, what they want, and what they can afford. I like that. It is kind of like a puzzle, and you have got to put the pieces together.

There are going to be nice people, great people that you want to stay friends with, and then there are going to be the tough ones that you just cannot wait until the day of closing. But that does not really happen that often.

The buying process is not one dramatic decision. It is a chain of smaller decisions, and each one is easier when the buyer knows what comes next. Ask questions early, keep the documents together, and let the budget—not the listing photographs—set the pace.

Tell me where you are in the process, even if the answer is only “thinking about it.” The first conversation is free, and it should make the road feel clearer.