Your Home Buying Guide | Time line for Purchasing a Home on the North Shore Boston
1. Choose a Real Estate Agent to represent you as the buyer; preferably an Accredited Buyer Agent (ABR)
Real Estate Agent Martha Anger and Laura Hall are Accredited Buyer Agents who work with buyers to purchase real estate on the North Shore of Boston.
2. Meet or speak on phone with Mortgage Broker, Lender or Bank and obtain a Pre – Approval which will state your purchase price and what your down payment will be.
3. Have verification of funds for down payment. (Lender will need to see proof of funds/ and may be requested at time of offer or accepted offer.)
4. Begin your search on line, and when ready schedule appointments with your Real Estate Agent.
5. Find a home you love which offers all your needs and within your financial means.
Now for the Offer
- Day 1 – Make the offer- Work with your agent to submit a “Contract to purchase” – With this contract to purchase (offer) you will need,
(a) Good Faith Deposit- this is a refundable until you go to a binding Purchase and Sale agreement.
(b) Pre- approval letter from the lender.
- Day 1-10 – Do your inspection. Your buyer agent will meet you and your inspector at the property to do inspections. See web link for Ma Home Inspection info As your Buyers agent we can offer you a list of inspectors that we have used and ones that may specialize in the type of home you are purchasing.
- Day 1-10 – Decide which lender you will use and submit a written application. This timing needs to coincide with “contract to purchase” dates. Often this is done towards the end of the 10-day inspection period. Your real estate agent will advise you of these dates
- Day 1-10 – Chose a Real Estate Attorney. Discuss with lender whether you hire their closing attorney to review and or write your Purchase and Sale agreement or if you will hire a separate real estate attorney to do this. (This is one of the largest purchase you may make and is important to have legal representation)
- Day 10 – End of inspection period. At this point you will decide to move forward to a purchase. If unexpected repairs or issues came up in inspection you may decide this house is not for you or you may negotiate for the seller to repair the items or compensate in monetary value.
- Day 11 – If you are moving forward with purchase you will sign a Purchase and Sale Agreement and submit a 2nd down payment, which is generally a percentage of the purchase price. (should be in a cashiers or bank check) This is a binding contract and you will now be “under agreement”. Money is generally non refundable unless the bank denies you a mortgage, or there are other contingencies in the contact. Seek legal concil to thoroughly understand the contact you agree to.
- Day 30-40 – Approximately 3 weeks after the Signed Purchase and Sale agreement (P&S) you will receive a Mortgage Commitment from the lender. This is a written letter stating that the lender will lend you the money to purchase the home. This commitment letter and date is very important and cannot be overlooked. During this time it is important to work closely with your lender to supply all their requested documents in a very timely manor.
- Day 45-60 – About 3 days before the close, your attorney/lender will supply you with a financial closing statement for your review, take extra care to review and understand this and if you will need to prepare separate money to bring to the closing table. With your real estate agent you will do a final walk thru of the property, the day before or day of the closing to be sure it is empty/clean and ready to purchase.
- Day 45-60 – Day of closing/purchase – Closing is generally done at the attorney’s office or at the local Registry of Deeds. If there are 2 parties purchasing both must be present and generally your attorney and or real estate agent may be present as well. Occasionally you can close from a distance if prior legal arrangements have been made with lender and attorney. Be sure to check with your lender documents, Identification, and money that may be needed on the day of closing.
- Day 45-60 – Take ownership. Once deeds and documents have been signed and deed is recorded you will have keys and access to property, generally done all on the same day of closing/purchase.