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Home Buyer Checklist

Fantastic news – your offer on a home has been accepted! That’s a huge milestone. However, if you thought the most challenging part was behind you, think again. Successfully navigating the home buying or selling journey without missteps (or losing your cool!) can be quite the feat. You’ve already invested significant time and energy in getting pre-approved, finding the perfect place, and crafting a winning offer.

But remember, signing the sales contract is just the beginning of the final leg. There are still several crucial steps to complete before you reach closing day, and this is often when people wonder, “What comes next?” This is precisely where a checklist becomes invaluable. It helps you stay organized and ensures you’re fully prepared to cross the finish line – closing the deal smoothly and without unnecessary stress.

HOME BUYER CHECKLIST

10 Things To Do Once Your Offer Has Been Accepted

1. Deposit Earnest Money

Earnest money serves as a tangible expression of a buyer’s serious intent to purchase a home. This step occurs early in the process and provides a level of security for the seller, demonstrating confidence as they remove their property from the market.

Here in Colorado, while earnest money typically hovers around 1% of the home’s purchase price, it’s important to know that this isn’t a strict rule and can fluctuate based on local market conditions. It’s also worth noting that some states have a separate due diligence fee in addition to earnest money. Once paid, these funds are securely held in escrow until the sale reaches its conclusion.

The timing of earnest money collection can vary; some Realtors collect it before an offer is submitted, while others arrange for it after a sales contract has been signed. Regardless of the specific procedure, it’s crucial to ensure that the earnest money is submitted promptly and in the correct format as specified in the contract. Always take the time to double-check these details to keep the home buying process on track.

2. Perform Property Inspections

Once your sales contract is signed, the inspection period begins, and the clock is ticking. It’s time to hire a home inspector to give your new home a thorough review, so be sure to schedule your inspections promptly to stay on track.

Keep in mind, depending on the type of home you’re buying, you might need more than just a standard home inspection. Additional inspections could include checks for radon, pests, septic systems, sewer lines, structural integrity, HVAC systems, meth contamination, or mold.

It’s a good idea to chat with your real estate agent about all the inspection options available. Make sure you address any inspection-related issues within the time frame laid out in your contract to avoid delays or complications.

3. Submit Lender Documents

Once that sales contract is signed, your next important step is to get in touch with your mortgage lender right away. This ensures they have all the necessary paperwork to begin processing your loan. As soon as they receive the contract, the mortgage process officially gets underway.

Be prepared to provide a fair amount of documentation – it might seem like a lot! However, keeping organized and promptly supplying your lender with the requested documents is vital for a smooth process. Delays in providing paperwork can lead to setbacks, so the quicker you respond, the smoother your closing will likely be.

Since lenders don’t always proactively update you, it’s wise to check in with them regularly to confirm they are on schedule. If your loan isn’t finalized by the closing date, your contract could be in jeopardy. Missing the closing deadline could even allow the seller to cancel the deal and keep your earnest money. To prevent this, stay ahead of any document requests from your lender and respond without delay. Being proactive is key to ensuring a successful and timely closing!

4. Review The Title Commitment

Typically, the Title Company or law office managing your transaction takes the lead on this step. They will issue a Title Commitment, which involves a thorough examination of the property’s title history (often referred to as the chain of title). This process aims to identify any existing liens or encumbrances that need to be resolved before the closing can proceed smoothly.

Because the title commitment process usually runs parallel to the loan process without directly affecting it, it often doesn’t get the attention it deserves. In fact, it’s common for people to only take notice if an issue arises. The most frequent oversight? Simply neglecting to review the title commitment at all.

It’s a smart move to carefully examine your title commitment. If anything seems unclear or raises questions, don’t hesitate to seek advice from an attorney. While most title commitments are straightforward and won’t require any additional action on your part, taking the time to double-check is always a prudent step before moving forward.

5. Order The Appraisal

With the inspection phase successfully behind you, the next crucial step is to inform your mortgage lender. At this point, they will order a home appraisal. The purpose of this appraisal is to ensure that the property’s fair market value aligns with the loan amount specified in your sales contract.

It’s important to be aware that appraisals can sometimes come in lower than the agreed-upon sales price. This step is a critical safeguard for lenders, preventing them from lending more money than the home is actually worth. In fact, flawed appraisal practices played a role in the 2008 real estate market crash, where loans exceeded property values. Since then, stricter regulations have been implemented to guarantee the independence of appraisers from mortgage companies.

Here in Colorado, appraisers typically have ten business days from the date the appraisal is ordered to complete their assessment. Therefore, it’s essential to have your lender initiate this process as soon as possible.

Keep in mind that as the buyer, you will most likely be responsible for covering the cost of the appraisal. To avoid potential unnecessary expenses, it’s wise to wait until you and the seller have come to an agreement on any issues that arose during the inspection before your lender orders the appraisal.

6. Order Homeowner's Insurance

Before you can officially close on your new home and receive the keys in Fort Worth, Texas, your mortgage lender will require you to have a Homeowner’s Insurance Policy active. This means it’s time to do some comparison shopping to find an insurance provider and a policy that best suits your individual needs and provides adequate coverage for your new property here in Texas.  

 

Given the wide array of options available, the cost and extent of coverage can vary significantly. It’s a smart strategy to obtain quotes from at least three different insurance companies. Be sure to compare both the large, national insurers and the smaller, local agencies in the Fort Worth area – you might find surprising differences in price and the specific protections they offer for homes in Texas. For instance, some policies in Texas might have specific clauses related to weather events common in this region.

7. Turn on Utilities & Waters

Amidst the whirlwind of activity that comes with buying a home here in Fort Worth, Texas, it’s easy to let some of the fundamental tasks slip through the cracks – like arranging for your utilities. While in some states, sellers are required to provide information about local utility providers in the Seller’s Disclosure, it’s still a proactive step to reach out to those Fort Worth providers immediately to schedule services to begin on or before your closing date or to transfer existing services into your name. This might include electricity from providers serving Fort Worth, water and sewer services specific to the area, and natural gas if applicable.

If your new home is located in a more rural part of the Fort Worth area, it’s particularly important to check the local internet speeds before you finalize your offer. Some neighborhoods, especially those on the outskirts of town, may not have access to high-speed internet options, which is something to consider for work, entertainment, and staying connected in Fort Worth.

Keep in mind that during the busier moving months, which often include the summer in Texas, it’s best to schedule your utilities at least a week before your closing date. Getting these arrangements in place sooner rather than later will contribute to a much smoother transition into your new Fort Worth home.

8. Schedule Closing Date & Time

Your sales contract for your new Fort Worth home will specify an agreed-upon closing date, but proactive planning is key to ensuring a seamless experience. Well in advance of this date, make sure someone contacts the title company handling the transaction in Fort Worth to confirm their availability at a convenient time for you. This is particularly important during the busy summer months in Texas when title companies often have packed schedules, so it’s wise to aim to schedule your closing at least a week or two ahead of time.

Typically, both you (the buyer) and the seller will attend the closing meeting together in Benbrook. However, in some situations, a notary or mobile closer can meet with either party remotely, offering more flexibility. Your Realtor in Fort Worth will work closely with the seller’s agent to coordinate these logistical details.

While this step might seem straightforward, it’s surprisingly easy to overlook until the very last minute. To save yourself unnecessary stress and potential scheduling conflicts, make sure to confirm the title company’s availability for your preferred date and time as early as possible in the process of buying your Fort Worth home.

9. Perform Final Walkthrough

Conducting a final walk through of your potential new home in Fort Worth, Texas, before closing is always a wise step for you as the buyer. This gives you a crucial opportunity to verify that any repairs agreed upon in the sales contract have been completed to satisfaction and that the seller has removed all of their personal belongings, leaving the property in the expected move-in condition.

It’s important to remember that the final walk through is not the appropriate time to attempt to renegotiate any terms of the original sales contract for your Fort Worth property. Instead, it serves as a final confirmation that no significant issues exist that could potentially put the sale at risk. Minor discrepancies, such as a burnt-out light bulb, should not typically impede your closing. The walkthrough is primarily a safeguard designed to prevent any major surprises that could lead to more significant problems or delays in finalizing the purchase of your Fort Worth home.

10. Close The Transaction

When your closing day arrives for your new home in Fort Worth, Texas, make sure you have your government-issued photo ID ready, along with any certified funds required as outlined in your closing statement. You’ll be meeting at the title company’s office here in Benbrook to sign all the essential legal documents that finalize the property transfer.

Closings usually take less than an hour to complete. If you are financing the purchase with a mortgage, be prepared to sign the majority of the paperwork related to your loan. Once all the documents are signed and your lender has officially released the funds, the sale of your new home in Fort Worth is complete! Congratulations!

Frequently Asked Questions (FAQs) When An Offer Has Been Accepted

Generally, scheduling and completing your home inspection for a property in Fort Worth, Texas, should happen within 7 to 10 days after the sales contract is signed. However, it’s important to remember that this timeframe can be influenced by the specifics of your individual contract and the current pace of the real estate market in the Fort Worth area. The physical inspection itself typically takes a few hours to complete. Additionally, be sure to factor in time for any specialized inspections that might be recommended or required in Fort Worth, such as radon testing or pest inspections, which could extend the overall timeline for this phase.

If the appraisal comes in lower than the agreed-upon price, you may need to renegotiate with the seller or cover the difference yourself, especially if you have an appraisal gap clause. Without one, you could back out of the contract or adjust your loan amount, depending on your lender’s terms.

As soon as you’ve signed the sales contract for your new home in Fort Worth, Texas, it’s a good idea to start shopping for homeowner’s insurance. Your mortgage lender will definitely require proof of insurance coverage before they’ll finalize the loan and allow you to close on the property in Benbrook. Therefore, comparing different policies early in the process is crucial to finding one that offers the right protection for your new home in Texas at a competitive price. Once you’ve selected a policy, be sure to promptly provide all the necessary details, such as the insurance provider and policy number, to both your lender and the title company handling the closing in Fort Worth. This will help ensure a smooth and timely closing.

The final walkthrough of your potential new home in Fort Worth, Texas, is indeed your ultimate opportunity to verify that the property is in the condition you and the seller agreed upon in the sales contract and that any negotiated repairs have been properly completed. While this walkthrough isn’t intended as a chance to reopen negotiations on the price or other terms, discovering significant, unresolved issues at this stage could potentially give you grounds to delay the closing or request a resolution from the seller to ensure the home meets the agreed-upon standards in Fort Worth. However, as you mentioned, minor, easily fixable items, like a missing lightbulb, should generally not be a reason to hold up the closing process for your new home in Texas. The focus should be on confirming the resolution of any more substantial concerns.

When you head to the title company on closing day, be sure to have your valid government-issued photo identification with you. Additionally, you’ll need to bring any certified funds required to cover your closing costs, the exact amount of which will be clearly outlined in your official closing statement. It’s always a good practice to double-check this amount with your title company in Fort Worth a few days before closing to avoid any last-minute surprises. If you’re financing your Fort Worth home purchase with a mortgage, you should also expect to sign a substantial amount of paperwork related to your loan agreement during the closing meeting.

If you ever feel that your Realtor or lender isn’t as responsive or proactive as you’d like, don’t hesitate for a moment to take initiative and communicate directly with the title company and your lender. Being proactive and maintaining open lines of communication with all parties involved in your Fort Worth real estate transaction is key to ensuring that nothing gets overlooked and that your closing stays on schedule. Your active involvement can be a significant factor in a successful and timely closing on your new home in Fort Worth.

A delay in your loan approval can indeed put your purchase contract for your Fort Worth, Texas home at risk. Therefore, maintaining constant communication with your lender is paramount. Be sure to respond swiftly to any requests for documentation they might have. If it seems like a delay in loan approval is a possibility, your Realtor in Benbrook might be able to negotiate an extension of the closing date with the seller. However, it’s important to understand that such an extension is not guaranteed and depends on the seller’s willingness. The best course of action is always to stay organized and responsive to your lender’s needs to avoid potential delays in the first place and keep your Fort Worth home purchase on track.

Yes, a seller can back out after accepting your offer, but only under certain conditions outlined in the contract, such as contingencies or buyer breaches. However, if the seller tries to back out without a valid reason, they could face legal consequences or be required to compensate the buyer. It’s important to review your contract and consult with your Realtor or attorney if this situation arises.