The Road to Closing

1. The Lender (Bank)

The home purchasing process always starts with the Lender. Before you fall in love with a potential home make sure you know how much you can afford. Contact a loan officer to make sure you know exactly the amount you should be looking for. 

2. The Search

Once you have a Pre-Approval letter from your lender and with the help of your Local Agent  the search begins for the home that fits your housing needs (or gets as close as possible) 

3. The Contract

Once you have identified a home that you want to pursue it’s’ time to work with your Local Agent to submit an offer to the seller. If accepted, you now have a binding contract. 

4. The Inspections

Now you have the opportunity to have 3rd party professionals conduct inspections so you can identify any potential issues with the home. If found, repairs or concessions can be negotiated before moving forward. 

5. The Title Work

A title company will take the contract and order a title search to make sure the property title is “clean” and can be transferred to the buyer at closing with no problems. The title work will identify any issues that need to be addressed before closing. 

6. The Underwriting

The lender orders the appraisal and evaluates the title work & the buyer’s financial details to determine if they can approve the loan for the purchase. 

The Title Company also evaluates the transaction to determine if they can issue a title commitment to insure the Buyer. 

7. The Repair Work

Any repairs that were negotiated after the inspections would now be completed in time for closing. Any issues found by the underwriting process would also be addressed during this time. 

8. The Final Steps

With a satisfactory appraisal, completed repairs, underwriting approvals, a title commitment, and final funding approval the title company schedules the time for the Buyer & Seller to close. 

9. The Closing

The Buyer brings any funds needed to close & signs the closing documents. The Seller brings the keys & signs the closing documents. When the lender releases the funds to the title company and all the terms and conditions of the sale have been met…the title company records the new transfer of title and the transaction is closed!