Below are answers to frequently asked questions about the “Buying Process”. If you have a question that you would like answered feel free to submit your question here.
What is the process of buying one of these homes?
Step 1: Agency Disclosure and Election
Prior to entering into a discussion with a Broker or broker’s salesperson (“Broker”) you will be asked to complete a “Agency Disclosure and Agreement” form which specifies in writing what type of agency relationship you will have with the Broker in the transaction.
Step 2: Offer
An “Offer” is a promise made by one party, requesting something in exchange for that promise. The offer is made with the intention that the offeror (e.g., Buyer) will be bound to the terms if the offer is accepted. The terms of the offer must be definite and specific and must be communicated to the offeree (e.g., Seller).
Step 3: Acceptance
When a Seller is presented with an Offer the Seller may Accept, Reject or Counter the Offer (as so desired) although in certain circumstances the Seller is not obligated to do so.
Step 4: Contingencies
Once a Buyer and Seller come to an agreement (mutual assent) the next step involves removing/satisfying any contractually agreed contingencies (e.g., inspections, residency approval, financing).
Step 5: Closing (Settlement) and Possession
Once the contractually agreed contingencies have been removed/satisfied and all documents and monies necessary for closing deposited into Escrow, “Consummation of Sale” can take place. “Consummation of sale” means that (1) a purchaser has received all goods and services that the retailer or broker agreed to provide at the time the contract was entered into or (2) the transfer of Title.
How long does this process usually take?
The time from Seller’s Acceptance to close on any particular purchase is dependent on the structure of the purchase. For example, if a Seller accepts your offer promptly, assuming there are no contingencies, you may be able to close the next business day.