Page 8 - New Buyer's Guide
P. 8
Once an offer is accepted ...
Once there is an offer and acceptance, a fully executed Binder with a
deposit check (usually 1%), a pre-qualification letter from a mortgage
company, or proof of funds, the following is considered the standard
sequence of events:
Inspections:
You will have a building inspection at your expense. This should occur within one week of the fully executed
Binder. The Inspector will check the condition of the structure from basement to roof, the utilities, the
appliances that are to remain as part of the sale, for termites, for lead in all houses built before 1978, for
radon, the septic tank and well, the pool and oil tank if applicable.
Contracts:
Once the Binder is fully executed and before inspections are completed, you will need to contact a Real
Estate Attorney who will review the contract forwarded by the Seller’s Attorney. Within ten business days
(the norm), you will need to sign formal contracts. By that time, any building inspection issues should
be resolved. Upon signing the contract, you will need to write a check for an amount agreed upon at
Binder—10% is a standard Binder deposit. This check is typically placed in the Seller’s Attorney’s Escrow
Account. Contracts are then returned to the Seller’s Attorney for the Sellers to review and sign.
Mortgage Contingency:
There is a Mortgage Contingency involved in most transactions. The mortgage amount is indicated in the
Binder, and again in the contracts. You will generally request a period of three weeks for mortgage approval
- this, too, is stipulated in the Binder and the contract. Once you make formal application, which should be
done immediately, the Mortgage Company will contact a licensed appraiser to complete a formal appraisal
of the home you are purchasing. This is most often completed within three weeks of the fully executed
Binder. It is in your best interest to request your Mortgage Broker to order it as soon as possible.
Closing:
The closing is generally held at the Seller’s Attorney’s office. There are times, however, when the lender
requires that a closing be held in the office of their Attorney. On the day of the closing you will complete a
“final walk-through” and will personally inspect the home you are purchasing to see that it is in the same
condition as when you bindered it. If there were repairs to be made as a result of the inspection, you will
want to ensure that they were done according to the contractual agreement. The “final walk-through” is
arranged through the Real Estate Agents involved in the sale. The date of closing was agreed upon during
the negotiating period and is indicated in the contract. The time of closing is usually determined within the
last week of the closing date. By this date you are all packed and ready to go. Except for a few incidentals
that might need your attention, (please refer to your “Closing Checklist”), your buying journey is over and
you have reached your goal. Congratulations, it’s time to celebrate!
Buyer’s Guide
Vanderblue.com | 203.259.8326
Once there is an offer and acceptance, a fully executed Binder with a
deposit check (usually 1%), a pre-qualification letter from a mortgage
company, or proof of funds, the following is considered the standard
sequence of events:
Inspections:
You will have a building inspection at your expense. This should occur within one week of the fully executed
Binder. The Inspector will check the condition of the structure from basement to roof, the utilities, the
appliances that are to remain as part of the sale, for termites, for lead in all houses built before 1978, for
radon, the septic tank and well, the pool and oil tank if applicable.
Contracts:
Once the Binder is fully executed and before inspections are completed, you will need to contact a Real
Estate Attorney who will review the contract forwarded by the Seller’s Attorney. Within ten business days
(the norm), you will need to sign formal contracts. By that time, any building inspection issues should
be resolved. Upon signing the contract, you will need to write a check for an amount agreed upon at
Binder—10% is a standard Binder deposit. This check is typically placed in the Seller’s Attorney’s Escrow
Account. Contracts are then returned to the Seller’s Attorney for the Sellers to review and sign.
Mortgage Contingency:
There is a Mortgage Contingency involved in most transactions. The mortgage amount is indicated in the
Binder, and again in the contracts. You will generally request a period of three weeks for mortgage approval
- this, too, is stipulated in the Binder and the contract. Once you make formal application, which should be
done immediately, the Mortgage Company will contact a licensed appraiser to complete a formal appraisal
of the home you are purchasing. This is most often completed within three weeks of the fully executed
Binder. It is in your best interest to request your Mortgage Broker to order it as soon as possible.
Closing:
The closing is generally held at the Seller’s Attorney’s office. There are times, however, when the lender
requires that a closing be held in the office of their Attorney. On the day of the closing you will complete a
“final walk-through” and will personally inspect the home you are purchasing to see that it is in the same
condition as when you bindered it. If there were repairs to be made as a result of the inspection, you will
want to ensure that they were done according to the contractual agreement. The “final walk-through” is
arranged through the Real Estate Agents involved in the sale. The date of closing was agreed upon during
the negotiating period and is indicated in the contract. The time of closing is usually determined within the
last week of the closing date. By this date you are all packed and ready to go. Except for a few incidentals
that might need your attention, (please refer to your “Closing Checklist”), your buying journey is over and
you have reached your goal. Congratulations, it’s time to celebrate!
Buyer’s Guide
Vanderblue.com | 203.259.8326
