Once you are under contract, you will begin working your way through the due diligence period and contingencies on the contract. There is A LOT going on during this time period, but you will have your real estate agent right by your side to walk you through the whole process.
Here are a few of the things that will happen once you are under contract:
The Inspection. You have the opportunity to have someone come in and inspect the home for any issues. An inspection on your new home by a professional will cost you around $350 – $750 depending on the size of the home but is well worth it to avoid major issues down the road.
The Appraisal. Your Lender will want to ensure they are not lending you more money than the home is worth, so an appraisal is ordered to determine the market value of the home by an independent third-party.
Title Search. A Title Company will search all records of the home to verify that the title is indeed transferrable and all liens and loans on the home are paid off during closing ensuring you do not have future issues.
Home Insurance. Your lender is going to require that you maintain home insurance to protect their investment. You will want to secure a home insurance plan to commence on the closing date. Make sure you have applicable certificates that your lender may require (i.e. flood insurance).