From Offer To Close

So you've taken your client to a great property and they want to make offer? Easy, right?! Wrong! Now the work begins. Here are a few notes to help you move the client from Offer to Close. Enjoy!

BUYER:​ Provides Broker with prequalification letter, signs contract and gives the Broker check for initial earnest money (usually $1,000). Contract subject to 3 day attorney review.

BROKER​: Negotiates with seller and seller’s broker (unless a disclosed dual agent).

SELLER​: Accepts and signs contract. Subject to 3 day attorney review.

BROKER​: Gives one signed copy of contract to seller, buyer and faxes to both seller and buyer’s attorney.

SELLER​: Gives his attorney his last paid tax bill, survey, deed, and/or abstract of title if available.

BUYER​: Makes application for mortgage, if any (after completion of attorney review).

BUYER​: Schedules a home inspection (timing as per contract).

BUYER​: Increases earnest money to amount agreed upon in contract on date specified by contract.

SELLER​: Applies for Certificate of Occupancy and Fire Inspection.

BUYER’S ATTORNEY​: Orders title search. Prepares mortgage and note, advises buyers they are ready to set closing date.

BUYER​: Obtains insurance for property prior to closing (usually takes 3 weeks to 1 month). A binder is usually not acceptable.

BROKER​: Schedules final walk through of property prior to closing.

ATTORNEY​: Schedules closing date and time and notifies all parties to contract.

BUYER​: Is advised of figure for the amount required to close from lending institution or attorney and then obtains a certified or cashier check for this amount.

SELLER & BUYER​: Closing transfer title is agreed upon location. Possession to be obtained in accordance with date shown on contract. Be sure all utilities have been notified and meters read.

NOTE​: SELLERS​ usually pay: commission, real estate taxes to date of possession, state transfer tax, release of mortgage and drawing of mortgage.

BUYERS ​usually pay: title search, all charges related to their mortgage, recording of deed and mortgage, oil in tank if oil heat is in home, home inspection. Rarely, a buyer will pay to have a Radon or Termite inspection as well.