The legal contract buyer(s) and the seller(s) enter into once the buyer(s) offer has been accepted by the seller(s) is called a Purchase and Sell Agreement. It outlines the terms and conditions of the sale and is signed by both parties.

Earnest money is when you agree to deposit a percentage of the home’s asking price into an independent account to demonstrate to the seller(s) that you are serious about buying. In return, the seller(s) agree to take their home off the market. When the sale closes that money is put toward the down payment or closing costs.

Once the Purchase and Sale Agreement is signed, a home inspector is hired to examine the home’s health, safety, and major mechanical systems. If any issues arise from an inspection, you may be able to renegotiate your offer.

After your offer is accepted, the next step is to get your final loan approval. During this process, your lender will decide if they are willing to approve your mortgage based on things like your creditworthiness, the title history, and the appraisal of the home you want to buy.

This is a report for you and your lender that details the history of the home that you are buying to ensure there are no legal barriers to purchasing it.

Escrow is an impartial third-party process where documents and funds are deposited by buyers, sellers, and lenders that facilitates the closing of a real estate transaction.

The final step of the home-buying process. Ownership is transferred from the seller(s) to the buyer(s), closing costs are paid, and a number of documents are signed. After closing is finalized and recorded, the home is yours!