Whether you’re relocating to Ann Arbor or searching for your dream home in the area, understanding the home-buying process will help you navigate Ann Arbor’s competitive real estate market with confidence. From planning your move to closing the deal, each step is essential for a smooth transition.
The first step in the process is research and relocation planning. Setting your budget and getting pre-approved is crucial, as Ann Arbor’s median home price is $455,500, with variations depending on the neighborhood. Getting pre-approved for a mortgage will strengthen your offer when you find the right home. Choosing the right neighborhood is just as important. Burns Park is a great option for families, Kerrytown offers a walkable urban lifestyle, and Water Hill boasts historic charm. Planning for moving costs, utility setup, and local services will help ensure a seamless relocation. If you’re moving for work, it’s wise to check commute times to downtown, the University of Michigan, or local hospitals.
House hunting is the next major step. Hiring a local Ann Arbor real estate agent can help you find properties before they hit the market. Browsing listings on platforms like Zillow, Redfin, or MLS will give you an idea of available homes and condos. Attending open houses is a great way to see multiple properties in one day, especially on weekends when Ann Arbor has many open houses, particularly near the University of Michigan. If you find a property that interests you, scheduling a private showing will give you a more detailed look at the home.
Once you’ve identified a potential home, evaluating the property is essential. Older homes in areas like Old West Side may need updates, while newer condos in North Oaks often require fewer repairs. Checking for structural issues, reviewing HOA rules in condo communities like Kingsley Condominiums or Ashley Terrace, and comparing home prices by neighborhood will help ensure you make an informed decision. A three-bedroom home in Eberwhite, for example, may be more affordable than a similar property in Burns Park.
When you’re ready to move forward, making a strong offer is key. Since Ann Arbor homes often receive multiple offers, submitting a competitive offer might require bidding above the asking price. Negotiating terms can include requesting closing cost assistance or home repairs if necessary. An earnest money deposit, typically 1-3% of the home price, is held in escrow to show your commitment to the purchase.
A home inspection and appraisal follow after an accepted offer. Hiring a local home inspector is important, as common issues in Ann Arbor include basement moisture and older electrical systems. If the inspection reveals any major concerns, negotiating for repairs or a price reduction is a smart move. The lender will also require an appraisal to confirm that the home’s market value aligns with the loan amount.
The final steps involve financing and closing the deal. Securing your mortgage is a significant part of the process, and Ann Arbor’s property tax rate of 2.14% should be factored into your monthly payments. Homeowners insurance is essential, especially in areas near the Huron River where flooding could be a concern. Before closing, a final walkthrough ensures all agreed-upon repairs have been completed. On closing day, you’ll sign the final documents, pay closing costs, and receive the keys to your new home.
If you’re planning to relocate to Ann Arbor, we are here to guide you through the process. Whether you’re buying, selling, or investing, our expertise will help you navigate the market with confidence. Contact us today to start your journey!