Alright so you prepare your home to go on the market, you put it on the market, and then you get an offer that comes in that you’re happy with so you accept the offer. What happens next?
1. Home Inspection
So, once the offer is accepted, the first thing that’s going to happen, usually within 5-7 days is going to be a Home Inspection. The buyer is going to hire a private home inspector to come through your home and make sure that all the systems, the major components in the home, are working properly. After that, once they get the report back there’s really going to be three options. They are either going to move forward, re-negotiate some fixes, or get out of the deal.
2. Appraisal
So if you move forward on that, the next step, the second step would be the Appraisal. The lender, the buyers lender, in most cases unless its a cash offer, the lender’s going to order an appraisal through a 3rd party. That 3rd party appraiser will come through your home, they’re going to take pictures, they’re going to walk around it look at the updates, look at the features and then they’re going to go back on their system and put together a report that compares your home with the homes around it. And then they are going to come up with a value. That value then goes to the bank, which goes to the lender and the buyer. So, the lender is going to get in touch with you and let you know the value of that home. So if the value comes in at or above the purchase price, thats great you’re moving forward. If it comes in below the purchase price, again you’re probably going to be in a re-negotiating situation whether you have to come down as a seller, or the buyer’s got to come up, or you meet in the middle.
3. Financing
The very last thing that is actually happening throughout the deal, would be the Financing and getting the loan. So the buyer, through that whole time the lender is going through their file and trying to get them to qualify for the loan. All three of these parts work together, and getting financially approved is the very last step. So once you’re financially approved, you can get a clear to close, and once you get a clear to close, you’re on your way.
So those are the three steps you have to get through to get to the closing table and inevitably get the net proceeds that you’re looking for. As always, if you have any questions about the selling process, please reach out to me.
Thinking about selling your home? Start by finding out the value. Click HERE and I’d be happy to give you a free, no obligation home analysis.
About the Author: This article was provided by Daniel Naurato. Daniel is a realtor in Metro Detroit and a leader in the field of real estate marketing. If you are in the market to Buy or Sell a home in Metro Detroit, he can be reached at NauratoRealEstate@gmail.com I have a real passion for helping people buy and sell homes in Michigan. I primarily serve the following areas: Northville, Novi, Plymouth, Livonia, Canton, South Lyon, Farmington Hills, and Birmingham.
