I am a Seller – What Happens After the Offer is Accepted?
1. After you have accepted the offer on your home the buyers will schedule to have their private home inspection done. Depending on the offer, but usually it is done within 7 days of the offer being mutually agreed to or bottom lined. Each contract is different but usually within 48 hours of the inspection being done we will have some type of response from the buyers or buyers agent. Sometimes they will respond to the inspection and then make it contingent upon the radon results if they are doing a radon test, because that will take couple more days once they put the radon testing equipment in your home.
2. Inspection: Our office will call you to let you know when the buyers want to schedule their private home inspection. You should plan on vacating the property for approximately 3 hours during this time. The buyers would like their privacy and it’s a time for the inspector to be able to show them around your home and how things work. If they test for Radon, they will leave the radon equipment in your home for a couple days and then come back and pick the equipment up.
Inspection results should be relayed to us within 48 to 72 hours after the inspection has been completed. If the inspection is other than satisfactory, the buyers should put something in writing notifying us of the results and their intention to move forward, request a credit in lieu of any repairs, or request that you fix or replace specific items.
3. Appraisal: Assuming the buyers are satisfied with the results of the inspection, then next is appraisal. Usually the appraisal is done within seven days after their inspection has cleared. The appraiser will need access to the interior of your home. The appraiser will be at your house for approximately 30 minutes, measuring square footage, taking pictures and taking notes of the condition of the home.
4. The results of the appraisal could take anywhere from 7 to 14 days.
5. If the appraisal comes in at the value of the purchase agreement and no repairs were required, then nothing further is needed from the seller at this time. If the home doesn’t appraise, we are back to the negotiating table trying to figure out a price that works for everybody. If repairs are noted, you should have the repairs done as soon as possible so the appraiser can come back out.
6. After we are over this hurdle it is time to start packing and get ready for closing. Please be sure to leave all attached items, including window treatments, drapes, blinds, light fixtures, attached mirrors, drapery rods, attached shelving, fireplace doors, screens, storm windows, attached speakers, etc.
7. You are responsible to change over the utilities; verify the buyer has called and put them into their name after closing. Remember to cancel your homeowners insurance after closing as well.
8. Five days before closing, you should contact your city water department and ask them to come out and do a final water meter reading. Some cities do and some cities do not do final water meter readings. If they don’t an escrow will be held until the next bill comes and it will be pro-rated.
9. We are now waiting for the buyers to get what’s called a “Clear To Close” A clear to close means all conditions have been met and the buyer has been completely approved and ready to close on your home. 98% of the time we don’t get the clear to close until the day before the scheduled closing date. Banks are overwhelmed and they wait until the last minute for whatever reason. Sometimes we might get it earlier and that’s great, but don’t be alarmed or think something is wrong if we don’t get it until a day or two before closing.
10. On the day of closing everyone involved in the sale will need a copy of their driver’s license. If you have to write a check or bring money to closing to sell your house, it needs to be in the form of a Bank Cashiers Check and should be made payable to the title company. This is very important. Please ask us before closing who your title company is.
Seller FAQ’s
1. Should I be there for the home inspection?
No you should leave. Usually this is a time for the inspector and the buyer to get to know the home. They usually like their privacy so they can talk privately and not have to worry about offending the Seller.
2. If the buyers ask for me to repair or replace something or a dollar amount to be reduced in lieu of the repairs do I have the right to counter their request?
Yes you have the opportunity.
3. I accepted an offer, can I take the lockbox and key off my door?
No you should not remove the lockbox and key, it will still be necessary for access for the inspector and the appraisal. Then before closing the buyer will do their final walkthrough so it needs to be on for that also.
4. Can I still show our house after we accept an offer?
Yes after you accept an offer we can mark your listing “CTS” which means continue to show, this will be for back up offers only. You cannot accept another offer. We still market and continue to show once an offer is accepted. When you want to stop showing and mark it pending, let us know.
5. When should I start packing?
I would recommend you start packing AFTER the appraisal results are in and we agree.
6. Is it guaranteed that we close by the contract closing date?
No absolutely not, typical loans are taking 45+ days in today’s market. The lenders are very thorough in their underwriting process. If you’re closing date is 30 days out, there is a better than 50% chance it may not close on time unless the buyer is very clean financially. The closing date is an estimated close by date. Very rarely does a deal close earlier than the close by date and if it does close on time, it is usually the closing date specified on the purchase agreement.
7. When will we know if we are closing on time?
As crazy as this sounds, we won’t get the clear to close until 24 to 72 hours before closing. That’s just how lenders work, they have thousands of files and they prioritize them by the closing dates. So don’t be alarmed if the purchaser buying your home doesn’t get their clear to close until a couple days before closing.