What Are the Next Steps Once You Go Under Contract?

Buying or selling a home is exciting—but once you go under contract, the process is far from over. Here’s a step-by-step look at what happens next.

1. Earnest Money Deposit
The buyer submits an earnest money deposit to show they’re serious. This money is held in escrow and applied toward the down payment at closing.

2. Home Inspection
The buyer schedules a home inspection to check for issues. Depending on the results, the seller may need to make repairs or offer credits.

3. Appraisal
If financing, the lender orders an appraisal to ensure the home’s value supports the loan. Low appraisals may require renegotiation.

4. Title Search & Insurance
A title company ensures the property is free of liens. Title insurance protects against future claims on the property.

5. Contingencies
Contracts often include contingencies, such as:

• Home inspection

• Financing/mortgage

• Appraisal

• Sale of the buyer’s current home

6. Loan Approval & Underwriting
The lender reviews financial documents and credit to finalize the mortgage.

7. Final Walkthrough
The buyer does a final walkthrough to confirm the home’s condition and any agreed-upon repairs.

8. Closing
At closing, the buyer signs loan documents, the seller transfers the deed, and keys are handed over. The home officially changes ownership!

Tips for a Smooth Process:

• Stay organized with deadlines

• Communicate with your agent, lender, and title company

• Prepare for moving and utilities

Sue Monroe, RE/MAX, with 29+ years of experience
Phone: 303-717-7349