What Happens After the Buyer’s Offer is Accepted?
Congratulations! You have a purchase agreement that spells out the purchase price and other terms signed by both the buyer and seller. Now it’s time to begin taking steps that will lead to closing the transaction.
A neutral third party will hold the contract and any deposit money involved in the transaction. Lawyers will take care of that.
Next comes inspections. A standard home inspection is the most common, but some contracts may call for other inspections too, like septic, sewer, pest, or other things. All inspections have to be completed within a specified time period.
Then… financing comes in to play. There will usually be a deadline by which the buyer must secure mortgage loan approval. Most lenders require an appraisal to make sure the home is worth the amount of money being borrowed…
And a title search is also typically conducted to confirm the property’s legal ownership, and to identify any outstanding liens, taxes or mortgages.
Lenders also usually require the buyer to purchase a homeowner’s insurance policy prior to the closing.
And finally, the closing itself. This includes the final signing of all documents, the transfer of funds, and the buyer getting the keys to the home.
REMOVE: The transaction will be recorded with the local register of deeds office and the new owner’s name will appear on the record.
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