Congratulations! You have a purchase agreement that spells out the purchase price and other terms signed by both
the buyer and seller. Now it’s time to begin taking steps that will lead to closing the transaction.
A neutral third party will hold the contract and any earnest money involved in the transaction. This is called the
Next comes inspections. A standard home inspection is the most common, but some contracts may call for other
inspections too, like septic, sewer, pest, or other things. All inspections have to be completed within a specified
Then… financing comes in to play. There will usually be a deadline by which the buyer must secure mortgage loan
approval. Most lenders require an appraisal to make sure the home is worth the amount of money being
borrowed… And a title search is also typically conducted to confirm the property’s legal ownership, and to identify
any outstanding liens, taxes or mortgages. Lenders also usually require the buyer to purchase a homeowner’s
insurance policy prior to the closing.
And finally, the closing itself. This includes the final signing and recording of all documents, the transfer of funds,
and the buyer getting the keys to the home.
The transaction will be recorded with the local register of deeds office and the new owner’s name will appear on the