As a seller, What’s Next? We are now under contract.

As the seller, I want you to know what is next now that we are under contract. Our contract was executed today so officially the clock starts on the contract starting tomorrow. Within the next 48 hours but probably today, the buyer’s agent will deliver the executed contract and the earnest money to the title company. They will also deliver the option check more than likely to my office so it can be forwarded to you directly. Once you receive it, you may deposit it immediately. Usually within a day or so once the title company had the contract, they will send you an information sheet to fill out. This is contact info so they can get in touch with you and current lender info so they can get the payoff of your home. It usually contains helpful info for you as well like a map to their office etc.

 

Now the first hurdle to overcome is the option period. In this case the buyer has asked for 10 days. During the 10 days they will inspect the property and based on the inspectors finding, they will either ask for repairs or be happy with the condition of the home as it is. They can ask for anything and you can decline as well. All of this is negotiable and in most cases both parties agree to either get some items fixed or adjust the price so it can be fixed later. If the inspector should find some serious issues like roof or foundation then a specialist may be called in to look a little deep. Anytime during the 10 days the buyer can terminate and receive their earnest money back. The option period ends at midnight on the last day.

 

Once we have past the option period, other deadlines come into play. There is certain timeliness in the contract where the buyer should receive the HOA documentation and a survey either new or existing. As your Realtor I make sure those deadlines are met. Once the buyer has received those items, they do have a few days to look them over, asked questions and depending on the issue as for items to be corrected. If something will not work for them then they have a period where they could back out and get the earnest money back. An example would be if the buyer has a large RV and it would need to be parked in the drive way. If the HOA prohibits this then the buyer could decide to back out if this was a deal breaker.

 

Finally the last hurdle is the third party addendum. The buyer, if financing the deal, has a certain number of days where they can give notice if they are not able to obtain financing and get their earnest money back. Usually this is anywhere between 14 to 21 days. If the buyer passes this deadline and doesn’t give notice then their earnest money is in jeopardy if they don’t close for some reason.

 

Now this is just the highlights. Every transaction is different and anything can happen along the way. The best way to prevent problems is to always have a full time licensed Realtor representing you.

Thanks for reading. Till we speak.

Larry_the_Mason_Master_Files13

Leave a Reply

You must be logged in to post a comment.