#Legal document no workdone on house professional

Even if yours doesnвЂ™t, thereвЂ™s little downside to getting a thorough look at the home youвЂ™re about to buy. Many lenders require this as a condition of underwriting your mortgage loan. The goal of a home inspection is to look for minor and major defects, such as structural problems, nonworking appliances, and elements that may violate local building codes.

#Legal document no workdone on house professional

Within a few days of the sellerвЂ™s acceptance of your purchase offer, you need to schedule a home inspectionВ with a professional inspector. If youвЂ™re not sure whether an escrow deposit is required in your market, ask your real estate agent far enough ahead of time to ensure thatВ you have enough liquid funds in place to clear the deposit. Buyers working with legal representativesВ can typically wait until after their attorneys review the purchase agreement to make their escrow deposits. In some states and markets, youвЂ™re required to make a 5% to 10% escrow deposit (toward your down payment and/or closing costs) shortly after the seller accepts your offer. However, all parties involved inВ the transaction вЂ“ the buyer and seller, their agents, the lender, the title or escrow agent, and possibly the buyerвЂ™s and sellerвЂ™s attorneys вЂ“ begin the closing process under the assumption that the purchase agreement is final. In most cases, the seller thenВ deposits the buyerвЂ™s earnest money check вЂ“ usually 0.5% to 2% of the purchase price вЂ“ into an escrow account.Д¬ustomarily, the purchase agreement can be amended to reflect last-minute negotiations or contingencies, such as a problem uncovered during the home inspection, without sabotaging the deal. The closing process officially begins once the seller accepts, signs, and returns your purchase offer (also known as a purchase agreement). For $79 (or just $1.52 per week), join more than 1 million members and don't miss their upcoming stock picks. Motley Fool Stock Advisor recommendations have an average return of 618%. To learn more about how the process works in your particular market, consult an impartial real estate professional with experience in the area. While the following is a general timeline and description of what you can expect (and when) between the day you submit your purchase offer and the day you close on the property, your actual experience may vary. ItвЂ™s important to remember that the customs and legal requirements governing real estate transactions vary substantially from place to place. HereвЂ™s aВ look at the general sequence of events that occur during the residential real estate closing process, what and how much you can expect to pay before and on your closing day, and the documents and disclosures you need to understand and sign to make your real estate transaction official. No matter what you call it, a lot needs to happen between the day the seller accepts your purchase offer and the day you sit down to make the transaction official. During this period, the sale of your home is said to be вЂњpending.вЂќ If itвЂ™s customary in your market to make a substantial deposit (up to 10% of the agreed purchase price, in someВ cases) into an escrow account once your offer is accepted,В you may also refer to the closing process as the escrow period вЂ“ as in, вЂњthe home weвЂ™re buying is in escrow until our closing day.вЂќ ThatвЂ™s typically 30 to 60 days before your actual closing date вЂ“ assuming a loan underwriting snag, low appraisal, or major defect discovered during a routine home inspection doesnвЂ™t delay the deal. However, the closing process beginsВ right after the seller accepts your purchase offer. Your closing day вЂ“ the day you meet with the seller, your real estate agents, title or escrow agents, and possibly other parties involved in the transaction вЂ“ is the day the property officially becomes yours. Whether youвЂ™re a first-time homebuyer, looking to purchase a second home, or downsizing after a life change,В you canвЂ™t move into your new house until you officially close on the property.