How to Buy a House: 4 Ways to Purchase Faster and Smarter

Daniel Bortz is a Realtor in Maryland, Virginia, and Washington, DC, who has written for Money magazine, Entrepreneur magazine, CNNMoney, realtor.com and more.

If you’re about to embark on the home-buying process, you want to know how to buy a house the quick and smart way. The process typically takes two to three months, but in a seller’s market with low inventory and strong buyer demand, it could take six months to a year—or longer.
But what if you could cut that time in half, without having to make any sacrifices? You’d do it, right? Of course you would.
Well, you’re in luck! Take a look at our recommendations for buying a home the smart way:

1. Let the government lend a hand
   If you’re in the process of saving for a down payment, you might be able to scrape together the remainder of the money by qualifying for one of the more than 2,200 down payment assistance programs offered nationwide. These programs provide home buyers with low-interest loans, grants, and tax credits.
   If you haven’t heard of down payment assistance before, you’re not alone. Many people don’t know about these programs or assume their loans are more difficult to get than they actually are.
   You’ll have to meet certain eligibility requirements in terms of income, occupation, or credit, but buyers who use down payment assistance programs save an average of $17,766 between upfront savings and lower monthly mortgage payments over the life of the loan.
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2. Stay on top of new listings
   You can see what houses are currently for sale in your area using. To fully stay on top of brand-new listings in your preferred area, however, ask your real estate agent to set up an automated email through the local multiple listing service so that you’ll get pinged every time a new listing pops up that fits your needs.
   Tracking new listings in real time can give you an edge over other buyers, because you’ll be in position to schedule showings right away and potentially make an offer before another buyer even steps foot inside the house.
3. Consider buying a foreclosure
   Many home buyers overlook foreclosed and bank-owned properties often because they fear the condition of the home. That’s a valid concern, because foreclosed homes are frequently sold as is—which means the bank is not going to fix any problems (even if you uncover them during a home inspection). However,buying a home that’s in foreclosure has a couple of big advantages.
   It’s often worth the investment, given that foreclosed homes sell for an average 15% below the home’s actual value—and foreclosed homes often sell for less than asking price. Also, because there is less competition among home buyers in this sector of the market, you’re less likely to go up against other bids when submitting an offer on a home that’s in foreclosure.
   To begin your search you can browse listings of foreclosures, which might also be marked as “bank owned” or “real estate owned.”
4. Certify that your finances are in order
   Closing times are getting longer: On average, it now takes 50 days to reach closing, up from 40 days in 2015, according to a recent report by Ellie Mae, a company that provides mortgage solutions to consumers.
   To close faster, your best move is to get prequalified or preapproved for a home loan before submitting an offer on a property.

Keep in mind that the home/property serves as the collateral for the mortgage. So technically, the mortgage cannot truly be “approved” until you know the property address and the appraised value of the property.

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*realtor.com