As a potential homebuyer, you probably know that signing a real estate contract is a significant achievement. After all, it means that the seller has accepted your offer and that you`re one step closer to officially becoming a homeowner. But what happens after the contract is signed? Here`s a breakdown of what you can expect:
1. Earnest money deposit: Once the contract is signed, you`ll need to make an earnest money deposit. This deposit shows the seller that you`re serious about buying the property and serves as a down payment. The amount required varies, but it`s typically around 1-2% of the purchase price.
2. Home inspection: You`ll have a certain number of days (usually 7-10) to conduct a home inspection. This inspection is crucial as it helps identify any issues with the property that the seller may have failed to disclose. If any major issues are found, you can negotiate with the seller to either fix them or credit you money to do so.
3. Financing: If you`re financing your purchase, you`ll need to work with your lender to secure a mortgage. This process can take several weeks, so it`s important to stay in touch with your lender and provide any requested documentation promptly.
4. Title search: A title search is conducted to ensure that the seller has clear ownership of the property and that there are no liens or other issues that could impact your ownership. This step is usually handled by a title company or attorney.
5. Closing: Once all the above steps are completed, a closing date will be set. At the closing, you`ll sign a stack of paperwork, pay any remaining fees, and receive the keys to your new home.
It`s important to note that there can be unexpected delays or roadblocks that arise during the homebuying process. That`s why it`s important to work with a team of experienced professionals, including a real estate agent, lender, and attorney, to help guide you through the process. With the right team and preparation, you can navigate the post-contract process with ease and soon be settled into your new home.