You are one step closer to becoming a homeowner. However, once your offer is accepted there are several things to do and to keep in mind:
As the buyer you usually have a right to perform many different types of inspections and tests, usually at your own expense. Depending on the terms in your agreement, you only have a certain number of days to complete inspections and a certain number of days to either remove the contingency or request that the seller address one or more of the issues found during an inspection. Your realtor will make sure you are aware of the deadlines and can help you select home inspectors and other professionals to help you through this process.
An appraisal may be required if you are obtaining financing from a lender. The appraiser makes sure that the home’s value is at least what you have agreed to. If an appraiser determines that the value of the property is lower than the agreed upon purchase amount, then several things could happen:
Challenging an appraisal can be difficult and often the appraised value isn’t changed. Your real estate agent will walk you through each of your different options, should this occur.
Formal Mortgage Application and Approval
You should expect the bank to require documentation, letters and other items to satisfy the bank’s lending requirements. Provide any requested information in a timely fashion and ask your banker or realtor if you have any questions or face any obstacles during the mortgage approval process.
What is a Final Walk-through?
As a buyer you have the option to walk through the home one last time before closing. Walk-throughs are not required, but are strongly recommended. It may have been several weeks since the last time you walked through your new home. Your realtor will walk through with you and help you to inspect important items. Be sure to check that the mechanicals are working, the toilets are flushing properly, and that there is water. Your realtor will contact the seller’s agent with any items that need to be addressed.
What is Included in Closing Costs?
Closing costs usually include:
Your closing date is a target date of when you will close on the purchase of your home. It is not a guarantee and important to note that the closing date is determined by the ability to attain a clear to close from your lender, the title company, and/or the realtors. The more prepared and well organized you are for closing the smoother and less stress your closing will be. Keeping in close communication with your realtor and title company will help to ensure the requirements are met so that your closing can happen on the date set.