| << Making and Negotiating Offers Pt 2 | | Now Under Contract | | Home Inspections >> |
What is next?
Once your new home is under contract, there are quite a few tasks that need to happen fairly quick. Many of these will be performed by us, the title company, and of course the lender. If you’re escrow deposit was not made as part of your offer, it will be made in accordance with the contract at this time.
If you are purchasing a condominium, we will get a copy of the association documents, by-laws, current budget and other paperwork that is required to purchase a resale condominium in Florida. You are provided a three day right of recession once you have received all the documents. If there is something in the documents you do not like you have the option to rescind the contract. If you choose to rescind, we will facilitate the return of the documents to the seller so don’t lose them. Condominium associations generally charge a fee to reproduce the documents that you won’t want to pay for.
The first order of business is to get the home inspection completed usually within the first two weeks. If there are any issues with the property we need to know those as soon as possible. If there are covered repairs, they will be completed professionally in a work-man-like manner prior to closing. If there are issues that cannot be remedied, we may have to cancel the contract. If so, we don’t need to incur are any additional costs for services required for closing.
You will also need to make formal loan application if a lender is involved. Usually this needs to occur within five days. Most likely you will need to meet with the lender in person to fill out the real estate mortgage paperwork involved. The lender will need a copy of the contract which we are happy to provide. They will probably collect for a credit report and/or loan application fee. They also take care of ordering an appraisal but this does not usually occur until you have been approved from a credit standpoint.
In some cases we will be asking the seller for a copy of their title insurance policy. We will also as the seller for a survey if they have one. This is in an effort to help reduce and costs for you at closing. If you are financing your home, you will be required to pay for both of these items at closing.
The title company will begin working to provide your lender a satisfactory abstract of title and estimates of costs for items your lender will require.