Buying a New Home: From Contract to Closing

By Nancy Minor

You have searched and searched and now you have found “the home” and you are in love. It is time to write the offer. You will submit an offer and that is what it will be until it is accepted by all parties. It is then a contract. There may be many back-and-forths before the agreement does in fact become a contract. 

Once you have reached an agreement and all parties sign, the last real estate agent who receives the contract will put a binding agreement date on it. 

The next step is to list the dates that have been agreed to in the contract. You will have the due diligence period and then if required by contract, an appraisal and financial contingency time periods. 

You must perform and the seller must perform within the time limits stated in the contract. 

Start with binding agreement date and count it as 0. The following day will be day 1. You must do all your inspections and make sure you are comfortable moving forward.  Once the due diligence time limit expires, you cannot come back and ask for repairs. 

If you have concerns they must be addressed during this time period. This is the only time you can terminate at will. Your agent will see that you submit any request for repairs at this time. 

You will want to provide all the documentation requested as quickly as possible. Make sure you comply with the lender request so that the loan can be processed in a timely manner.

Your real estate agent will make sure the lender is aware of the time line for the appraisal and for the financing contingency. Lenders are often only focused on the closing date and do not realize the deadlines for the financial contingency to be removed, which will be sooner than the closing date.

Once the loan is approved and closing day is near, you will be asked to review the HUD statement and make sure it matches with the good-faith estimate your lender has provided. Make sure you bring your driver’s license to closing. You will be asked by the closing attorney  to wire funds due from you to the attorney’s office. 

Your agent schedule a walk through of the home before closing. This is usually a happy time and a chance to make sure your home is in the same condition as the time of purchase. Repairs will be completed and sometimes the seller will be present at the walk through and can answer questions you may have about things such as the sprinkler and the alarm system. 

This entire process will seem like a bizarre ritual but this is necessary to become a homeowner  in today’s market. Relax and enjoy the excitement of buying a new home.

New on the market in Peachtree Corners 5295 Mainstream Circle priced at $312,900

5295 Mainstream Circle priced at $312,900.

Additional homes on the market my be found at PeachtreeCorners.com

For additional information contact Nancy Minor at 404-955-7653 or Nancy@Minor.net