Congratulations! Your Columbus real estate agent called and told you that your offer on the Columbus home of your choice has been accepted. Once the Purchase Agreement has been signed by both parties, you enter the process of actually buying the property. This final part of purchasing a Columbus home requires getting a number of important things accomplished in a period of 3-5 weeks.
Here’s what to do next with the help of your Columbus real estate agent:
Secure your financing. You were pre-approved, which is great. Now you have to secure the mortgage loan. You’ll need the papers you gathered together for the pre-approval, as well as tax returns, pay stubs and other documentation showing proof of assets. Your Columbus real estate agent and your loan officer can talk you through everything you’ll need and show you various options for financing. This step will take several weeks, so don’t delay!
Find out how much cash you need to have on hand. The cash will be used to cover your closing costs and the down payment, unless some of these expenses are covered by the seller or will be included in your mortgage loan. Many banks require ‘seasoning’ of funds, which means that the money actually has to be in your account for 60 or more days. This is why it’s important to gather your cash now. Before the closing, the Title Company will tell you exactly how much money you will need to bring in the form of a cashier’s check.
Arrange for a professional home inspection. This step needs to happen within 7-15 days of the purchase contract, and this is also the time to arrange for a termite inspection and a gas line warranty. Make sure you can accompany the inspector while he or she walks through the house. The inspector will explain to you what he’s looking for, and this will make you a much more knowledgeable home buyer. The inspector will also provide you with a detailed written report that will list any problems needing remedies.
Set up your homeowner’s insurance policy. If this will be your principal residence, you can set up the premiums as part of your monthly mortgage payments, along with your property taxes. This is called an “escrow account.”
Have the property appraised. Your lender will take care of this and make all the arrangements for you. Hopefully the house appraises for the price you are willing to pay. If the house appraises for less than the selling price, you either have to come up with the difference as an additional down payment, or you need to renegotiate the Purchase Agreement. Most Agreements have a contingency clause for this.
Set your actual closing date and time. The end of the month is a busy time for Title Companies and lenders, so if you can, schedule your closing for earlier in the month. On the other hand, some of your closing costs might be a little higher if the date is early in the month. When setting a closing date, remember that your initial mortgage payment will be due on the first of the following month (closing 9/15, first mortgage payment due 11/1). In addition to setting your closing date, agree with the seller on a move-in date.
Take a final walk-through of the property. 24-hours before the closing, your Realtor will walk through the property with you. This is to ensure that you will be getting the property in the condition you expect it to be in after the closing. It’s also an opportunity to confirm that any work required in either the Purchase Agreement or as requested after the Home Inspection has been completed and is acceptable to you.
Review the closing documents. There are many papers to sign at the closing, so make sure you carefully read the documents a day ahead of time. Then at the closing all you’ll need to do is sign them and pick up the keys to your new home!
Call Susanne at 614-975-9650 if you have questions about any of these steps, such as how to find a reputable lender, a good home inspector or how to get started!
Also, there are ADT Ohio protection systems, which provide 24/7 home monitoring and remote viewing to protect your home investment.