After both parties sign a purchase offer, you are officially “In Contract!” Exciting, yes, but everyone asks the question, “What is next?” It is perhaps something you are new at or haven’t done in years. Things involved such as getting pre-approved for a loan, searching for a home, making an offer, hiring an inspector, and so much more can be tricky to coordinate. The Whiteman Group is here to help. We always want to inform our clients of what is happening next, and here is a great place to look.
This list will help you stay on track to make this whole time a seamless process that you won’t dread doing again! The Whiteman Group will properly prepare you for your next home and will make sure there is never a step that is overlooked. Our group is committed to dealing with issues as they arise and keeping our clients informed along the way. We know with our expertise and guidance, we will make the buying experience a pleasant one.
Earnest Money
After an offer is accepted, it becomes a contract. Both parties must do their part in fulfilling the contract, and this ensures that the buyer won’t simply walk away. Earnest money is designed to make the buyer prove that they “earnestly” want to buy the home.
Your earnest money is yours and will remain yours even after the transaction is closed. The Whiteman Group will deposit the money into a non-interest bearing account and will inform the other party of receipt. The date the earnest money needs deposited and the amount differs on each contract.
Property Inspections
After the contract is signed, the home inspection clock begins to tick. Make sure you understand how long your inspection period is and what needs inspected. It is important to schedule these as soon as possible. There are many home inspectors to choose from. A general home inspector is the most common but also structural, radon, pest, septic, HV/AC, and mold inspectors may also be hired and used during the inspection period. Our group will discuss this with you and will resolve any issues that may arise. After the inspection both parties will work together and agree on any remedies that need to be made.
Lender Documents
If your home is being financed, you need to keep your lender in the loop. Once you have a contract, send it along to your loan officer so they can begin the mortgage process. Be certain to get any requested information to them as soon as possible to give the bank plenty of time to do their process. Throughout the time you are in contract make sure and check in with your lender to verify they are still on track. If a lender doesn’t complete the loan process in the allotted time, your home may not close on time.
Title Commitment
This is handled by the title company, but is an important part of the home buying process. The title company will review the title history and leans against the property. They will issue you a commitment letter that is generally straightforward. If you have any questions about this you are free to ask The Whiteman Group or an attorney for advice. This doesn’t require any additional work from you, but review it thoroughly so there are no surprises at closing.
Appraisal
After the inspection process and any remedies have been made, your lender will schedule an appraisal of the property. The bank needs to make sure the home you are purchasing is of a greater value than the loan they are giving you. The appraisers can be busy, so communicate with The Whiteman Group and your loan officer to make sure your appraisal is being scheduled. Our Group likes to communicate with the appraisal so we will know if any issues as soon as they arise.
Insurance & Warranties
It is smart to shop around for Home Owners Insurance to find a policy that suits you and your home. The bank will require you to have a policy in place before you close on your new home, so it is smart to get a policy in place sooner rather than later. Once you have a policy let your lender, Realtor, and the title company know.
If your home came with a warranty be sure to review your policy. This is a great perk that many sellers will offer. It gives you peace of mind to know that your investment is covered.
Turning On Utilities
You are now at the final steps of closing on your home! You need to contact the local utility companies to get them transferred to your name. On the day of closing, the companies will take reading to make sure you are only getting charged your fair share. Our group will make this step easier for you by asking the seller to provide us with the companies that they use.
Scheduling A Closing Date & Time
In your contract, you have already determined a closing date. The title company will plan on your closing at that date and will coordinate a time that work for everyone’s schedule. Many sellers will sign the documents early, providing for a quick, easy closing.
Final Walk Through
Within 72 hours of closing, buyers generally want a final walk through. Buyers will use this time to verify that any repairs have been completed, and the sellers have moved out. No terms or issues can be negotiated at this time, but it is nice to simply see the house for one last time before you are officially the owner.
Close The Transaction
Finally, the day you have been waiting for. On the day of closing bring with you your drivers license and any certified funds you need. You will meet the closing agent and your Realtor at a location that is convenient for you to sign the paperwork. Once the documents are signed and your lender has transferred the funds, the house is yours!
Final Thoughts
As you can see, a lot happens even after you are “in contract” on a home. All 10 steps are very important to the home buying process. You can be assured that if you work with the Whiteman Realty Group we will keep you up to date on every step of the process. We will work with you, your lender, and the title company to catch issues that may arise immediately. Protecting your home is also something the Whiteman Group suggests. Visit Security Baron for some great resources reviewing the best in home security.
The Whiteman Realty Group is working full time coordinating transactions for you. We will be with you every step of the way creating the smoothest transaction possible. We take pride in our service and know that you deserve to be treated with the upmost professionalism and with us in your corner every step of the way.
