Your Offer Has Been Accepted! Now What?

Congratulations! You’ve received an accepted offer on your home, marking a significant milestone in the selling process. While this is undoubtedly an exciting time, it’s essential to understand what comes next to ensure a smooth transition towards closing. In this blog, we’ll walk you through the key steps that occur after accepting an offer, including the crucial three-day attorney review process and the subsequent stages leading up to the mortgage commitment.

The Three-Day Attorney Review Process

After both parties have agreed to the terms of the offer, the contract enters a crucial stage known as the three-day attorney review process. During this period, both the buyer’s and seller’s attorneys have the opportunity to review and potentially modify the contract terms. This period allows for legal counsel to ensure that the agreement aligns with their client’s best interests and address any concerns or discrepancies.

It’s essential to stay in close communication with your real estate agent and attorney during this time to address any questions or issues promptly. While the process typically lasts three days, extensions may occur if both parties agree to it. Once the attorney review process is complete and any necessary revisions are made, the contract becomes legally binding, and the next steps of the selling process can proceed.

Deposit Monies and Contract Sent to Lender

Following the resolution of the attorney review process, deposit monies are typically due within 5 to 10 days of the contract being executed. These funds serve as a commitment from the buyer and are often held in escrow until closing.

Simultaneously, the fully executed contract is sent to the buyer’s lender to initiate the mortgage process. The lender will begin verifying the buyer’s financial information, conducting an appraisal of the property, and ultimately issuing a mortgage commitment letter.

Inspections and Appraisal

Within 10 to 14 days of the contract being executed, inspections are typically conducted. These inspections may include a general home inspection, termite inspection, radon testing, and any other specific inspections requested by the buyer. The results of these inspections may lead to negotiations between the buyer and seller regarding repairs or credits.

Additionally, during this time, the lender will arrange for an appraisal of the property to assess its value. The appraisal is essential for determining the amount of financing the lender is willing to provide based on the property’s appraised value.

Mortgage Commitment

Once inspections are completed, and any necessary repairs or negotiations are resolved, the lender will issue a mortgage commitment letter. This letter indicates that the lender has approved the buyer’s mortgage application and is prepared to provide financing for the purchase of the home, subject to certain conditions.

Receiving the mortgage commitment is a significant milestone in the selling process, as it brings the transaction one step closer to closing. However, it’s essential to note that the mortgage commitment may include conditions that need to be satisfied before closing, such as providing updated financial documentation or securing homeowner’s insurance.

Navigating the period after accepting an offer on your home involves several critical steps that require attention to detail and effective communication between all parties involved. By understanding the process and working closely with your real estate agent, attorney, and lender, you can navigate these stages with confidence and ensure a successful closing on your home sale.