I am a Buyer – What Happens After the Offer is Accepted?
1. Usually within 7 days (per your contract) of your offer being accepted you need to have your home inspection if you choose to have one. We strongly suggest you do. In advance of your inspection you should also have the Well, Septic Tank and Radon tested if you so choose and it’s applicable. Radon tests take about 4-5 days, Well tests take about 3 days. Your Buyer Specialist can make recommendations for inspectors. If this is a bank owned property, check with your buyer specialist to see if Utilitiesare on. If they are not on, you might have to turn them on in your name if the bank is not willing to do so. This is not unusual.
2. If you are satisfied with the inspection, you will move forward with the sale. Verify your appraisal was ordered by your lender. Notify them you will want your closing package 2 days before closing to avoid last minute rushing.
3. It usually takes 3-5 days from the date your lender orders the appraisal for the appraiser to schedule and conduct the appraisal.
4. The appraisal takes 3-10 days for the results to be revealed.
5. During this time your lender should have all of the required documents. It’s best to check with your lender to confirm he/she has everything they need.
6. You should call to get homeowners insurance quotes at this time. It’s best you send your insurance agent the MLS ticket. If you don’t have one, ask our Client Care Manager – Closing Director for the “MLS Ticket For The House” This will prevent your insurance agent from asking you a million questions about the home.
7. When you’re about 3 days away from closing you should call the Gas and Electric Company and ask to “Transfer Utilities” for the date of your closing. Notify the water company that you are the new owner of your property’s address.
8. You should do a “Final Walkthrough” of the property you are purchasing within 24 hours before closing to confirm the property is in the same condition that it was in when you agreed to purchase the property. If for some reason your Realtor doesn’t contact you, please reach out to them to get this scheduled.
9. For the day of closing you will need your driver’s license for all signers and a Cashiers Check for the amount you are required to bring to closing. Your lender will be the one to give you the amount you will need to bring to closing. The Cashiers Check should be made out to the title company. This is very important. It must be a Bank Cashiers Check. Ask us who the title company is for your closing and you will make the cashiers check out them.
10. If your name is on the purchase agreement, you will need to be present at the closing or have signed a power of attorney for someone to sign on your behalf. If you are doing a power of attorney, you will need to notify our closing department and your lender at least seven days prior to closing.
11. The day before closing or sometimes even the day of, you should be in communication with your lender because they will tell you exactly how much you need to bring to closing. Don’t be alarmed or upset if you get this number the day of closing or even an hour or two before closing. This is very common. For whatever reason, the banks wait until the last minute to gather final numbers. It’s not your lenders fault; there is a lot of coordination in the final hours between Title Company and lender preparing all of the documentation and HUD 1 Closing Statement. If your money is coming from an out of state bank, there may be a five day hold; check this out in advance so you have access to your money when needed.
12. Closings are typically done Monday through Friday between 9:00 a.m. and 4:00 P.M. The closing should take 1 to 2 hours depending on if everyone is on time and whether or not the loan funds right away. If this is a late closing say 3:00 or later, there is a very good chance it will not fund until the next day. If this happens you will NOT get keys at that time and will have to wait until the loan funds and the title company receives the funds.
Buyer F.A.Q.’s
1. If I find items during the inspection that are broken or need to be repaired can I ask the seller to repair or replace?
Yes, you can ask for the items to be repaired, replaced or you can ask for a credit towards closing costs or a price reduction for an estimated amount and then you will assume the repairs and work needed to be done.
2. If I get denied on my loan will I get my earnest money deposit back?
Yes you will, assuming your purchase agreement has a mortgage contingency, most do.
3. What if the home doesn’t appraise for what we offered them?
If the home doesn’t appraise you are back to the negotiating table trying to find a price that everyone agrees to.
4. Can I pay over the appraised value if I want to?
Yes you can, more times than not, it is a compromise between the buyer and seller. However anything you pay over the appraised value is that much more than your required down payment that you will need to bring to the closing.
5. Can I buy a boat for my lake property or make any other larger purchases?
No, do not make ANY purchases or take out lines of credit or even apply for a credit card to get store credit. Anything that will cause a credit check may impact your ability to buy a house. Remember your lender will do a last minute credit report check on you. Don’t buy anything! I repeat, Don’t buy anything! Don’t charge a bunch of stuff, apply for credit, buy a car, no 12 months same as cash, don’t buy appliances, carpet or a TV. Don’t sell anything and make deposits in the checking and savings account that you can’t document the heck out of. Don’t get engaged, don’t get married, don’t quit your job, don’t start a new job, don’t get a dog, cat, or even a hamster. Don’t start smoking, don’t stop smoking and most import of all…..Don’t lose your lucky socks. Do I make myself clear? There are to be no loan altering changes to your life.