Getting your offer accepted is an exciting moment for most home buyers. After weeks or months of searching, your dream home is finally within reach! But it’s not the end of your real estate journey, and there is still work to be done before you can close on a purchase.
After your offer is accepted, the following steps are critical to the process of buying a home:
Deposit Earnest Money
Once your offer has been accepted, it’s time to deposit your earnest money into your buyer agent broker’s escrow account. This cash (usually 1% to 2% of the sale price) shows the seller that you are serious about the purchase and is an essential part of the transaction.
Preparing Your Finances
Before you can sign your offer, you will need to provide proof of your financing and complete your loan application with your mortgage lender. Your real estate agent will help you navigate the loan process and prepare all the documents necessary to secure your loan approval. Also read www.acashhomebuyer.com
Completing Inspections and Appraisals
Once you have your loan approved, it’s time to start inspecting the home that you’re purchasing. This is a key step to the purchase process, as it allows you and your home inspector to find any major issues that you may have missed before you finalize your offer on the home.
In addition, many homeowners choose to get professional appraisals to ensure they are getting a fair deal for their home. The inspection and appraisal processes are important because they show the seller that you have a firm grasp of your finances, that you are committed to buying the home and that you are likely to be successful in closing on your purchase.
Obtaining Insurance and Underwriting
The next step after you have your offer accepted is to begin the underwriting process with your lender. This process can take anywhere from a few days to a few months, depending on the lender and your loan requirements.
You should also start to get a title report on the home that you’re purchasing, as this will show any existing problems with the title of the house such as trust complications or unpaid balances from previous lenders. Once you’ve received these reports, you can begin to negotiate with the seller about addressing the title issues before closing.
Escrow and Closing
Once the loan has been approved, the escrow process begins. This is where a neutral third party handles the money and documents involved in a home purchase until all parties are satisfied with their guidelines.
This neutral party will manage the escrow process and make sure that all parties comply with their requirements, while working to protect the interests of each party throughout the entire transaction.
Getting your offer accepted is just the beginning of a long, complicated process that can be challenging and emotionally taxing. However, with proper preparation and guidance, you can avoid the pitfalls and hiccups that often accompany this process.