Contract to Close
Once Agents for Home Buyers (A4HB) has helped you find your home, we’ll help you make sure that it’s really the right home for you—and then get you to the closing table with all the issues dealt with.
The A4HB team will help you through the inspection process. We’ll communicate with your lender, negotiate repairs, review your contract, your title and your HOA documents and so much more. We’ll do everything we can to prepare you for closing—and provide you with peace of mind every step of the way.
Once your home is under contract, it’s time to complete the loan application process and talk to your lender about “locking” the interest rate on your loan.
The lender will begin the process of reviewing and approving your chosen property so they can issue a loan commitment. Full loan approval means the lender approves you as a good credit risk and believes that the property provides acceptable collateral.
Typically, the process between contracting and closing takes 4-6 weeks. The lender will also be notified about contract deadlines so the appraisal can be scheduled and the process can move forward.
After you’re under contract, you have the right to inspect the condition of the property, including the home’s structural, roofing, plumbing, heating and electrical systems. There may be other issues that you want specialized inspectors to evaluate. A4HB will be your support team throughout this process, arranging the inspections and advising you as issues arise.
In Colorado, the standard purchase contract allows you to object or to terminate the contract if the property isn’t satisfactory to you. Once the inspections are complete, we’ll help you negotiate an acceptable agreement on inspection repairs.
When you’re buying a home, you want to be sure there won’t be any questions about your ownership of the property once the purchase is complete. The title commitment insures your ownership of the property and discloses any limitations or obligations that ownership imposes, like covenants and HOA fees.
The purchase contract gives you the right to object if there are problems with the title and terminate the contract if the seller or title company can’t address them to your satisfaction before closing. Read more here.
When you buy a home governed by a home owner’s association (HOA), there are neighborhood rules, regulations and fees you should know about. An HOA may have the power to control changes to homes or landscaping, and assess fees for maintenance of the neighborhood and in some cases, the buildings.
We’ll review the minutes of HOA meetings, their financial statements and the rules, regulations and covenants owners must comply with. We’ll point out any potential problems. If you find things in these documents that you’re not comfortable with, a properly drafted contract will give you the right to terminate the contract.
To ensure a flawless closing, the most important work happens before closing day. A4HB will manage all the details and facilitate communication between you, the seller/listing agent, lender and title company. We’ll also walk you through these steps as you prepare to close on your new home:
- Completion of repairs
- Required home insurance
- Utilities turned on
- Transfer of funds
A4HB will also take you on a walk-through of the property to confirm that the seller is leaving it in the condition required by the contract.
Using figures provided by your lender and those written in the contract, the title company will prepare final closing statements for you and the seller. You’ll have a chance to review these documents and a balance sheet indicating all charges and credits to the parties prior to closing.
Now it’s time to finalize your home purchase. Most closings are uneventful, especially when the players involved have done their jobs. It’s typically held at the title company and takes about an hour. A4HB will be there and can advise you as needed.
If there is a loan involved, your lender will wire funds to the title company and you will either wire your funds or bring a certified bank check. A “closer” will ask you and the seller to sign a stack of documents and answer any questions you have about them. The seller will be given a check for the proceeds of the sale. You’ll get the keys to your new home and then…