When you’re ready to buy a house, having the right documents in place will make the process easier. Real estate requires a good deal of paperwork that your agent can help with, but there are a few key pieces that you will need to have and understand. Below are five of the items you’ll need when buying a house.

What Documents Are Necessary When Buying a House?

1. Lender Preapproval Letter

This document lists the amount you have been preapproved for in a mortgage and is one of the most important pieces of information you will need to buy a house. The letter shows you are serious about buying and that you are a reliable purchaser whose credit and financial information have been confirmed in some capacity.

2. The Purchase Agreement

Signed by the buyer and the seller, the purchase agreement is a formal document that commits you to the contract terms. Included here are the property details, contingencies and conditions, the rights and obligations of both sides, and everything that is included in the sale. In addition, you will see closing costs and dates, as well as the earnest money deposit needed. Finally, you will note the terms of possession, meaning when you officially receive the keys.

3. Inspection Report

Home inspection reports provide the condition of houses—from top to bottom, inside and out—and are a vital part of negotiating purchase details. You can opt to try and have the house’s price reduced or request the seller to make repairs if the inspection reveals damages. Also, you may decide not to go through with the sale if the damage is too extensive, especially in areas like the foundation or the electrical system.

4. Appraisals

Home appraisals assess the property value according to the current market. You will need the appraisal for your mortgage approval and before the lender will officially provide the loan for the amount you and the seller are agreeing on. The appraisal ensures the property is actually worth this amount, and if the appraiser concludes that it is not worth as much as the asking price, you have leverage as the buyer.

5. Cashier’s Check

The cashier’s check is needed at the closing to cover closing costs, prepaid interest, taxes, and insurance. Also, the funds of a cashier’s check are guaranteed to transfer, unlike a personal check. Sometimes your down payment is included in the closing cost total, as well.

If you are ready to buy or sell a house in O’Fallon, MO, Christine Williams of Coldwell Banker Gundaker is the real estate agent to call to begin the process. With more than 20 years of experience, Christine works with her clients to ensure all details of their real estate needs are met. The realtor also stays current on the real estate market and helps with the complicated process from beginning to end. To begin your search, call (314) 882-7050, or review current commercial and residential real estate listings on her website.