Page 22 - SCG 11-15.indd

Real Estate Purchase Timeline
Here is what to generally expect once an offer has been accepted:
Days 1-3 are spent signing loan docs, wiring a deposit, and ordering/ scheduling inspections. Ideally, the Buyer will sign disclosures and submit the loan application immediately after acceptance. The initial earnest money deposit must usually be deposited with the escrow/title company within 3 business days of acceptance. Proof of Funds for down payment and closing cost along with a mortgage pre-qualification letter must also be provided within 3 days. However, I will always attach these documents to the offer itself unless they were truly unavailable at the time. Days 1-3 are also spent scheduling professional inspections and reports such as pest and/or well or septic. The lender will order an appraisal.
Days 3-10 are the Buyer’s opportunity to physically inspect the property and review the reports and disclosures. The Buyer can usually back out during this period if they find something wrong and no longer want to buy the property. Most purchases are contingent upon, among other things, Buyer’s satisfactory inspection of the condition of the property. At the end of this period the Buyer agrees remove their inspection contingency and move forward.
Day 17 is the California Association of REALTORS® Residential Purchase Agreement default for lifting the inspection contingency, but I will often shorten this period to between 10 and 14 days in order to strengthen an offer by demonstrating expediency. Most deals are also contingent upon an appraisal that shows the value to be at or above the offered purchase price, and Buyers will usually lift this contingency within 17 days.
Day 21 is a good goal for lifting the loan contingency. Most deals are all about the loan approval, which can often take longer than 21 days even when working with a great loan officer.
30 days after acceptance is the most commonly agreed upon close of escrow date. The closing of the deal generally follows the funding of the loan. Once funded, the deed is recorded and the Buyer gets the keys. After that the Buyer does what they want, because that is the point of homeownership.
Robert Bialkin is an attorney (CalBar 265854) and REALTOR® (CalBRE 01958883) and loan officer (NMLS 1224906). Situations may vary. Sorry, not legal advice. bialkin.com • bialkinrealty.com • .bialkinlaw.com.
22 - www.sonomacountygazette.com - 11/15