A home selling process is not a one-time transaction, there are multiple steps that come into play while selling a home. You might have to deal with the state and municipality laws that may affect the ultimate sale process. Although, some steps are pretty standard. If you’re a seller and want to know what is the ultimate home sale process then read, Home selling process, when is a home actually sold?
Signing The Home Sale Purchase Agreement
The Home Sale Purchase agreement is the next step after making an offer. When a buyer makes an offer you can either accept it, reject it, or make a counteroffer. In cases, while accepting or rejecting an offer the deal has a definite outcome although, in a counteroffer, it’s back and forth.
A counteroffer can come from a single buyer or multiple buyers collectively, which is a lengthy negotiation process. When such an instance takes place your house goes from listed to available, and then pending sale. Once you accept the house sale offer, it’s time for you and the buyer to sign the agreement that includes the following terms –
- ID verification of both the home seller and home buyer
- The legally verified description of the property
- All Finances (purchase price, closing costs, buyer financials, down-payment)
- Home sale conditions that need attention
- Timeline for the home sale (offer expiration, contingencies, closing date)
Inspections Before Home Sale
A buyer will schedule a home inspection prior to the closing date. The motive of a home inspection is to secure the buyer’s future investment. An important point to note is that if your house has any defect which will cost you money your home may reopen negotiation terms.
For example, while inspecting, if the inspector discovers a crack in the foundation, it will need repairing before the sale which requires a lot of funds. These kinds of inspection discoveries are time and money-consuming, which leads to missing out on a great deal. As a seller make sure you carry out an inspection in advance to avoid any hassles.
Approval For Buyers Loan
In order to approve the buyer’s loan, it is essential that both the buyer and the seller boil down on the same selling price. Post-approval of the offer there is a home appraisal. The buyer will send all the documents to the lender after which the underwriting process commences. The underwriting process can take anywhere from a couple of weeks to a couple of months. Keep in mind the home is still not considered sold even after the approval of the loan.
The Contingency Sale
In simple terms, when a buyer has to close on their existing home prior to purchasing another property leads to a contingency sale. It is vital that the contingency is completed before closing and passing the ownership of your house. A buyer may satisfy a contingency by depositing the funds to close escrow or signing a release of contingencies. Although, depositing all the purchase price to close contingency will still not derive ownership of the house.
When Is The Home Considered Sold?
Technically, a home isn’t sold until the seller no longer owns the property or has ownership of the house. Once you sign the contract and receive the price of the property only then the house sale is complete.
We understand that a home selling process can be physically and mentally draining. Although, if you are planning to sell properties online you can get in touch with Elite Properties NY. Elite Properties is a cash-buying company that offers hard cash in exchange for distressed houses NY. Call us today at 718-977-5462 and we’ll help you in a smooth home sale.