Under common circumstances, it takes about 45 days to 60 days from the offer being accepted to closing.
The process of purchasing a house is broken down to the following stages.
Making/Accepting An Offer:
The offer is presented in the format of contract, along with buyer’s pre-approval letter. Once the seller accepts the offer, the submitted offer contract will be signed. Copies of signed contracts will be sent to sellers and buyers’ attorneys to start attorney review.
We offer sample of blank offers for free. contact me to get the samples via email.contact me
Attorney Review (AR)
After the offer is accepted, you have 3 business days to hire a lawyer to get on attorney review. The process of attorney review usually takes 2- 5 days, sometimes longer depending on the specific situation. Before AR is done, the contract is not binding officially. Both the buyer and the seller have freedom to change the plan.
Right after the AR
After the AR is completed, it would normally be the time to start loan application from banks. (The bank usually provides a draft closing document). After the bank receives all the documents needed, the appraisal will be ordered by the bank. Buyers are not required to attend the appraisal, but more than welcome to join.
This would also be the time for buyers to schedule home inspection.
14 Days or (10 business days) after AR:
Upon this time, home Inspection report and any repairing requests are due. Be sure to schedule the inspection as soon as the AR concludes, so that there would be enough time to receive the inspection report. Hence to discuss any repairing requests the buyer may have prior to the due date. It is highly recommended that buyers are present during the inspection.
10 Days after AR:
Additional Deposit is due (5% of purchase price) by this time. The buyer’s attorney will provide the details of whom / where the check should be written to.
Prior to mailing the check, please be sure to scan a copy or take a picture of the check for record.
30 Days after AR:
Mortgage commitment is due by this point. The commitment letter usually comes with certain conditions. The buyer should review the conditions and work towards clearing them before closing. After the commitment letter is issued, the buyer’s lawyer will order the title and prepare for closing.
Around 10 days after the commitment letter is issued – Final Walkthrough / Closing:
Closing date will be around 45 days after the process begins, but can be hard to predict, mainly depending on the bank and tile company. Bank usually issues an initial closing disclosure detailing all the cost breakdown for the buy to review 3 days before closing.
Final walkthrough will be scheduled on the closing date.
If you want to learn all more closing costs, you could read my article of closing cost breakdown.
Timeline:
In order to make this process easier to understand, I have made a timeline, hypothetically setting the first day on January 1st.
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January 1st: Making/Accepting An Offer
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January 6th: Attorney Review Concluded. Loan Application. Scheduling Home Inspection.
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January 16th: Additional Deposit Due
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January 20th: Home Inspection Report/Repairing Requests Due
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February 5th: Mortgage Commitment Due
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February 15th: Final walkthrough / Closing
If you want to know more about the purchase timeline, contact me .
