Purchasing a home is typically a significant transaction in the lives of home buyers which is also true when homeowners are selling a home. There are a variety of important steps in the residential home buying or home-selling process. It is helpful for home buyers or sellers to be as familiar as possible with the elements and legal requirements of the process which can help ensure a smooth experience and successful transaction.
The different steps in the residential real estate home buying or home-selling process include negotiating, drafting and reviewing sales contracts; reviewing inspection reports; reviewing seller disclosures; ordering title insurance and title examinations; examining the deed; conveyancing; analyzing the settlement sheet; and attending the closing. In addition, there are many specific details associated with each step that are part of the purchase or sale of a home that both buyers and sellers should be familiar with.
It is necessary to carefully review all real estate contracts, clauses and transactional documents. It is also necessary that the mortgage contingency is properly drafted should financing fall through. Home inspection contingencies can come under close examination so it is important to be aware of those concerns as well. Sellers have an increasing burden to disclose latent defects related to water intrusion, the electrical system, plumbing, roofing or structural problems. Disclosures must be provided and defects must be disclosed.
The home buying and selling processes are important, and may be exciting, however, it is important to understand the complexities of the process and be familiar with how to respond if left facing concerns related to defect or a breach of contract. While the process can be complicated, trained guidance and knowledge of the process can help achieve a successful transaction.