Inspections and Appraisals:
Potential buyers will have a set amount of time, generally referred to as the due-diligence period, in which to have the home inspected. The due-diligence period is clearly defined in the effective agreement, and may be extended if both the seller and the buyer agree.
Depending on the outcome of the home inspections, one of two things may happen:
- Contingencies for the sale of the home are met and the sale continues on track.
- After reviewing the property a buyer may request renegotiation based on the findings.
The Closing Agent:
An impartial agent, normally an attorney specializing in real estate closings, will be chosen to complete the transaction. This agent will hold deposit funds in escrow, ensure that the title is free and clear, and work with all parties to ensure all closing materials are in place by the closing date.
Contingencies:
A contingency is a condition that must be met before a contract becomes binding. It is common for buyers to require that the home must pass a home inspection, or that they must be able to secure financing for the sale to be complete. We will review all contingencies with you and explain the potential impact they could have on the sale of your home.
Loan Approval and Appraisal:
If a potential buyer will require a loan in order to purchase your home, we strongly recommend only accepting and seriously considering offers from buyers who have obtained a pre-qualification letter from a lender. A lender will also require that the property be appraised by a professional to determine the value of the property.
