How to buy a house in Georgia, step by step

Step 1: Work out what you can actually spend

Start with the monthly payment you can live with, not the price a calculator says you qualify for. A lender looks at your gross income and your debts; you have to look at everything else — childcare, savings, the car that needs replacing next year.

In Georgia your monthly payment is more than principal and interest. Property tax (assessed on 40% of the home's value, at a millage rate your county, city and school district set), homeowners insurance, mortgage insurance if you put down less than 20%, and HOA dues where they apply all ride on top. Our guide to how much house you can afford walks through the arithmetic.

Step 2: Get pre-approved, not just pre-qualified

A pre-approval means a lender has pulled your credit and looked at your income, assets and debts. A pre-qualification usually means somebody typed your own estimates into a form. Sellers and listing agents know the difference, and in a competitive Georgia market an offer without a real pre-approval letter often isn't taken seriously.

Talk to more than one lender. Rates, fees and loan programs differ, and you can compare quotes on one application through Veribas financing.

Step 3: Choose an agent and sign a buyer agreement

Expect to sign a written buyer brokerage agreement before an agent tours homes with you. It sets out what the agent does for you, for how long, in what area, and how they are paid. It can be narrow — one property, one week — and the compensation in it is negotiable. Read what a Georgia buyer agreement covers before you sign one.

Step 4: Search, tour and narrow it down

Search the whole market, then tour in person. Listing photos are taken with wide lenses on sunny days; a street at 5:30 on a weekday tells you more about the commute than any map. Check the listing's days on market and price history — a home that has sat for 60 days with two price cuts is a different negotiation from one that hit the market on Thursday.

Step 5: Make an offer on the Georgia purchase agreement

Your agent writes the offer on a Georgia purchase and sale agreement. The terms that matter most:

• Price, and whether you ask the seller to pay some closing costs.
• Earnest money — a deposit held by the holder named in the contract (often the closing attorney or a brokerage) and credited to you at closing.
• Due diligence period — the number of days you have to inspect and investigate, during which you can walk away for any reason.
• Financing and appraisal terms — whether the deal depends on your loan and on the home appraising at the price.
• Closing date and possession — when you close and when you get the keys.

Step 6: Use the due diligence period

This is the Georgia-specific part. Instead of an inspection contingency, standard Georgia forms give the buyer a due diligence period. Inside it you can terminate for any reason or none, and your earnest money is generally returned. After it ends, walking away usually costs you that deposit.

So everything happens inside those days: the home inspection, a termite letter, sewer scope, roof or HVAC specialists, insurance quotes, survey, HOA documents, and any repair negotiation. Our due diligence checklist lists what to book on day one.

Step 7: Appraisal and loan approval

Your lender orders an appraisal. If it comes in below the price, what happens next depends on what your contract says about appraisal — you may renegotiate, cover the gap in cash, or terminate. Meanwhile, keep your finances frozen: no new credit cards, no car loans, no unexplained deposits, no job changes until you close.

Step 8: Close with a Georgia attorney

Georgia closings are conducted by a licensed attorney. You will get a Closing Disclosure at least three business days before closing listing every cost. Do a final walkthrough, wire or bring certified funds (verify wire instructions by phone at a number you already have — never from an email), sign, and get the keys once the deal is funded and recorded.

Then, before April 1 of the next year, file for your homestead exemption with the county tax assessor. It is one of the most commonly missed steps for new Georgia owners.

Georgia's two closing taxes, worked out

Two Georgia taxes show up on almost every settlement statement. The transfer tax is $1 per $1,000 of the price and is customarily paid by the seller, though the contract can say otherwise. The intangible recording tax is $1.50 per $500 of your loan, capped at $25,000, and is normally the buyer's.

On a $350,000 home with a $332,500 loan, the transfer tax is $350 and the intangible tax is $997.50 ($332,500 ÷ 500 × $1.50). Neither is negotiable with the county, but who pays them is part of the deal.

What to ask at each step

• Lender: what are my total cash-to-close and monthly payment, with tax and insurance included?
• Agent: how long have similar homes been sitting, and what did they actually sell for?
• Listing agent (through your agent): is the seller flexible on closing date or possession?
• Inspector: which findings are safety items, which are big-ticket, and which are routine?
• Closing attorney: whom do you represent, and how will you give me wiring instructions?

Common questions

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