Q: I put in a bid to purchase a house down the country. The owner accepted my offer!!! Now what happens?
A: Congratulations! At this point, other parties become involved – your loan officer and your lawyer. LOAN OFFICER’S ROLE - If you require financing, you will need to inform your loan officer of what has transpired. At that point, your loan officer will schedule a Bank appraisal (refer to last week’s broadcast for definition) to be conducted. Once the results are finalized, and all parties - loan officer, you, and the Vendor (Seller) – are in agreement, your loan officer may start preparing the necessary documents to show how you will finance this purchase. LAWYER’S ROLE – The Vendor’s (Seller’s) lawyer will forward a copy of the Sales and Purchase Agreement (otherwise known as the contract) to your lawyer. Your lawyer will then arrange for you to come in to meet with him/her to discuss what is outlined within the contract and address any questions you may have. Once all parties are in agreement with the conditions outlined in the contract, all necessary parties – you, the Vendor, and any other required others – will sign. At the same time, a deposit may be requested of you by the Vendor (Seller) or the real estate agent (if you were shown the property via a real estate agency). This deposit – usually 10% of the agreed purchase price – is to be held in an interest bearing account or else otherwise agreed. These funds are applied toward any closing costs (see last week’s broadcast for definition). Once the deposit has been received and the contract has been signed by all parties, you now enter what is termed “under contract”, “sale pending”, and/or “closing period”. During this period, your lawyer will prepare all necessary documents and conduct any necessary searches concerning this property. There is basically nothing for you to do but sit tight. This period takes a minimum of approx. 30 days. At the end of this period, your lawyer will contact you and arrange for you to meet him/her to sign the deed(s) (see last week’s broadcast for definition). Once all parties have signed and all funds have been transferred to their necessary accounts, you officially become the new owner! Congratulations!
Today is the last Monday in February – Education Month. The blogs featuring each Monday Broadcast will remain on the website until the end of this week. So here’s your opportunity to ask your questions and have them answered!
Stay tuned for more Platinum Realty features to assist first-time homebuyers and first-time home sellers
******************************************************
Got other questions or terms you need help understanding??? Post them on the My Blog page of our website – www.platinumrealty.bm - and we'll post the answer to your question
Click on the ‘Buying Real Estate’ button on our website – www.platinumrealty.bm – for more information on steps to buying a piece of the rock!