The Process, Step-by-Step
Inspections & Appraisals
If they want to get expert advice from inspectors who specialize in a particular field, some buyers will have the property inspected by a number of different inspectors (eg. roof, HVAC, structure).
If the deal is contingent upon financing, a licensed appraiser will evaluate the property to establish its worth for the lending institution on a third party basis.
This is done so that the lending organization can verify the accuracy of their investment in your property.
If the financing institution mandates it, a buyer of a commercial property may additionally request the completion of an environmental audit and/or a soil test.
The Closing Agent
The closing agent, whose responsibility it is to check and guarantee clear title to real estate, will either be a title business or an attorney.
They will certify that 1) your title is free and clear of encumbrances (such as mortgages, leases, or restrictions, liens) by the day of closing and 2) all new encumbrances are properly incorporated in the title after reviewing the whole documented history of your property.
A contingency is a prerequisite that must be satisfied for a contract to be deemed enforceable.
For instance, a buyer would typically include a clause specifying that their contract will only be enforceable upon receipt of a favorable home inspection report from a licensed inspector.
The buyer inspects your home in its entirety before finalizing the acquisition, as stipulated by the purchase agreements and any relevant addendums.
These consist of:
Obtaining financing and insurance
Reviewing all relevant paperwork, including disclosure and preliminary title reports, and inspecting the property
The buyer has the right to inspect a variety of aspects of your property, including the roof, termite/pest, chimney/fireplace, property boundary survey, well, septic, pool/spa, arborist, mold, lead-based paint, HVAC, etc. to ascertain its condition.
Depending on how these inspections turn out, one of two scenarios could occur:
1. Either each milestone is completed successfully, the contingencies are eliminated, and you get closer to the closure, or
2. The buyer seeks a renegotiate of the contract terms after inspecting the goods and the documentation (usually the price).
When a renegotiation is requested, how do you reply to the buyer honestly and objectively while still operating in your best interests?
At this point, a qualified listing agent can actually affect how the deal turns out.
Having dealt with a variety of property sales in the past, we guarantee our knowledge and complete dedication to every client, regardless of their circumstance.
Appraisal & Loan approval
We advise you to accept buyers who have a lender’s pre-approved, approval letter, or written loan commitment because these documents provide a stronger assurance of loan acceptance than pre-qualification or the absence of any supporting documentation from a lending institution.
A lender’s corporate appraiser should examine your property and confirm that the sale’s price is reasonable.