Your escrow began when you accepted a buyer’s purchase offer and earnest money deposit. What follows is the inspection and appraisal of your Tacoma,
Lakewood or Pierce County home and the loan origination process.
The Title Company: The buyer selects a title company, whose job it is to examine and insure title to real estate. After researching the complete recorded history of your property, they’ll certify that 1. your title is free and clear of encumbrances (eg. mortgages, leases, or restrictions) by the date of closing, and 2. all new encumbrances are duly included in the title. They’ll draw up a preliminary report at the end of the process, which I will go over with you in detail.
Contingencies: A contingency is a condition that must be met before a contract becomes legally binding. For instance, a home buyer will usually include a contingency stating that their contract is binding only when there is a satisfactory home inspection report from a qualified inspector.
- Obtaining financing and insurance,
- Reviewing all pertinent documents, such as preliminary title reports and disclosure documents, and
- Inspecting the property. The buyer has the right to determine the condition of your property by subjecting it to a wide range of inspections, such as roof, termite/pest, chimney/fireplace, property boundary survey, well, septic, pool/spa, arborist or mold.
Depending on the outcome of these inspections, one of two things may happen:
- Each milestone is successfully reached so that the contingencies will be removed. This brings you one step closer to the close, or
- The buyer, after reviewing the property and the papers, requests a renegotiation of the terms of contract. This means that the buyer will either
- Request repairs
- Request a price adjustment
- Withdrawal their purchases offer.
How do you respond objectively and fairly to the buyer when a renegotiation is demanded, while acting in your best interests? This is when a professional real estate listing agent can make a real difference in the outcome of the transaction. Having dealt with various property sales in the past, I will provide negotiating expertise and total commitment to every client, no matter what their situation.
Loan Approval and Appraisal: Accept buyers who have a lender’s pre-approval letter, which is a better guarantee of loan approval than a pre-qualification. Expect an appraiser from the lender’s company to review your Tacoma,
Lakewood or Pierce County property and verify that the sales price is appropriate.
Ready To Go? Don’t pack your bags just yet. Something unexpected might happen – a buyer’s offer fails to push through, or new buyers come by to visit right when your house is in chaos. There’s a proper time to start preparations for moving, and given my previous experience with these transactions, I’ll help you determine when that time will be.
Let me take care of the details involved with escrow, inspections and the appraisal. I am always available for questions.
Next Step: Close of Escrow