HOME BUYING PROCEDURE

1. The Buyer meets with Bob for initial consultation.
2. The Buyer obtains a pre-approval letter from the lender of their choice.
3. The Buyer identifies property they would like to look at from advertisements they have seen or from listings Bob has provided based on Buyer's specific requirements.
4. The Buyer looks at property with Bob. Once the Buyer finds a home they are interested in they need to decide what to offer. Bob can help with this by providing comparable recent sales and discussing his evaluation of the property.
5. Once a decision is reached, the Buyer completes and signs an "Offer To Purchase" which is accompanied by an initial "good faith" deposit (usually $100). Offers are usually contingent on the Buyer obtaining a mortgage and they're satisfaction with inspections of the property to be performed later.
6. Bob then submits the offer and handles any necessary negotiations.
7. Once there is agreement between the Buyer and Seller, a new offer reflecting the agreed to terms is prepared and signed by both parties.
8. A Purchase and Sale Agreement is then drawn up by the listing Realtor's office and provided to the Buyer and Seller Attorneys for review and comment. The Purchase and Sale Agreement is typically a four page document that expands the terms of the agreed to Offer into more detail. Bob Reviews the terms of the Purchase and Sale with the Buyer prior to signing.
9. Once the terms of the Purchase and Sale Agreement are agreed to, the Buyer signs the Agreement which is accompanied by an additional deposit typically totalling 5% of the purchase price. The check is made out to the listing Realtor's office and held in escrow until closing.
10. The Seller then signs the Purchase and Sale Agreement.
11. The Buyer schedules inspections which usually have to be completed within 10 business days after signing of the Purchase and Sale Agreement. Inspections are identified in the Purchase and Sale Agreement and may include structural, termite/pest, radon and water. If the property has a septic system, the Seller is responsible to provide proof the the system has recently passed a test that demonstrates it meets state requirements.
12. The Buyer completes any necessary documentation with the lender for the mortgage.
13. After mortgage approval, the lender forwards documentation to the Buyer's attorney.
14. The Buyer's attorney does a title search to make sure it is a clear title. He also prorates bills for items such as oil, tax, water and sewer, etc. based on the closing date. These will become part of the closing costs.
15. The Seller and Buyer contact utility companies to arrange for service to be transferred.
16. The Buyer obtains a homeowner insurance policy for the property.
17. The Buyer's attorney informs the Buyer of funds needed for closing.
18. The Buyer does a "walk through" of the property before closing, usually the day before or the morning of the closing.
19. Closing is customarily held in the office of Buyer's attorney or at the Registry of Deeds.
20. The Buyer is given copy of closing statement by his attorney.
21. The Buyer usually takes possession of the home the same day as soon as the deed is recorded at the registry of deeds by his attorney.