What to Do When You are Under Contract
We're under contract... now what?
You made an offer, and it has been accepted—go ahead, cue the confetti! And while it'll be a few more days until you can move in, you're well on your way to closing the deal on your new home sweet home. Here's a quick rundown on what happens after you make an offer and your new home is "under contract."
-First, we will carefully review the vital dates and information you need to know to ensure a successful closing.
-You'll need to meet with a mortgage lender to confirm financing details and lock in your interest rate.
-Once the home inspection report comes in (and you should definitely request a home inspection), we may need to negotiate any repairs with your seller.
-Towards the closing date, you'll get a call from the title company and our team to schedule your closing.
All About Home Inspections and Insurance
What is a home inspection?
The inspection will uncover any issues in the home that would have otherwise been unknown. You will receive a written report of the inspection. I recommend that you are present for the inspection so that you may ask the inspector any questions.
What does "inspection period" mean?
During the inspection period, the buyer has the right to hire a professional to inspect the home's condition. If the results on the inspection report come back with any issues that need to be addressed, the buyer may ask the seller to cover the costs of these repairs, reduce the sales price, or fix the repairs before closing. If an agreement can not be made, the buyer has the right to back out of the contract and get the earnest money deposit back with no consequences.
The home seems fine, do I really need a home inspection?
You may think the home is in perfect shape, but some of the costliest problems are difficult to spot, such as leaks, termite damage, foundation issues, poor ventilation, faulty wiring, and drippy appliances. A home inspection gives you a chance (before you sign on the dotted line) to have a professional inspector see if any problems need to be addressed, replaced, or fixed.
Additionally, your lender will require you to obtain home insurance if you are getting a loan. The home insurance company will typically require that you have certain inspections done. In order to obtain insurance, the inspection reports will need to fit the criteria of the insurance company. This is another reason that you may need to have an inspection done.