It’s good to know what your next step is after finding the house of your dreams.

With your agent’s help, you submit a signed real estate offer to purchase, with the type of financing you’re comfortable with. Read it carefully and make sure you understand every detail prior to signing. This will be the sales contract once the seller accepts and signs the offer. All agreements should be in writing. If you plan to have a lawyer represent or advise you, retain one as early as possible.

Offers and Counter Offers
After your agent takes your written offer and presents it to the seller, the seller will accept it as written, make counter offers on unacceptable aspects, or reject it. This will then place you I apposition to accept it, counter-the-counter offer, or reject the seller’s counter. The offer to buy becomes a contract when all parties have initialed every counter and signed the offer.

When you sign the offer to buy, you will also have to show that you are sincere about the purchase by presenting a deposit, or also known as earnest money. Contracts are different

Deposit Deposit amount should be stated clear, also including the amount you will pay at time of settlement and your sources of financing. A general purchase deposit in several areas is 1-2% of the purchase price, deposited in escrow.

Financing Contingency - The total loan amount, the date a second or third mortgage is due, and the exact financing terms need to be specifically stated. Many contracts have an alternative financing clause. This allows buyers to accept different financing, as long as it does not have an effect on the seller’s net income.

Inspection Contingency - You can make the contract conditional on a building inspection report. You will most likely have to pay for this inspection.

Repair Work - Typical contracts of sale require sellers to verify that utilities are in working condition at the time of settlement. You should conduct a pre-settlement walk-through inspection several days before or no later than the settlement date.

Personal Property - Specify in writing if items not physically attached to the house are to be included in the sale. These items can include light fixtures, drapery rods, appliances, accessories, and various other pieces of property.

Termites - Depending on the area, the contract may require the seller or buyer to pay for a termite inspection. The results of this inspection may require payment to remove the infestation and repair any resulting damages. You should get a written statement at settlement indicating that the property is free and clear of any active termite infestation. In some areas, well and septic certificates are also required.

Title Attorney or Insurance Company When buying property, you have the right to select the title attorney or insurance company who will carry out your purchasing arrangements. Furthermore, be sure to clear the title company with the lender, whose interests are also concerned.

Closing and Occupancy Date - Include documentation for an arrangement with the seller, such as a daily rent-back agreement, in case they stay in the house past the settlement date. Without a rent-back, the sellers might have to make a double move, first to interim housing and then to a new home. It can be costly to store belongings, and moving twice can be a huge inconvenience.