This is the fifth part of our series on buying a new home in the Vail Valley. In our last installment, we discussed making an offer. This week, we will look at what happens once your offer has been accepted. Congratulations! You are now Under Contract!
The length of time spent between going under contract and moving into your new home depends on the specific contract, and can thus vary from weeks to months. Assuming a standard contract, however, you can expect to be under contract for five weeks.
The contract will provide deadlines for specific activities, dated from “MEC” – Mutual Execution of Contract (which is the date on which all parties have signed – or executed – the contract.) If your contract follows the standard timeframe, you can expect the next five weeks to look something like this:
- Deposit earnest-money check.
- Make loan application.
- Arrange for property inspections.
- Attend property inspections.
- Make repair requests to seller.
- Confirm that all information requested by the mortgage company has been submitted.
- Call to find out if mortgage company needs additional information.
- Arrange for mover.
- Confirm appraisal is complete
- Confirm that repairs have been completed.
- Arrange for transfer of utilities.
- Arrange for cashier’s check for closing.
- Arrange for settlement and signing of papers.
- Confirm final loan approval
- Closing and moving in!
Real Estate contracts can be amended if both parties agree, but should always be carefully read and adhered to. As the buyer, you have already provided earnest money. If you violate the terms of the contract, you could lose that deposit. The Rocky Mountain Home Team will help you turn your contract into an action plan and keep you reminded of important dates and activities. We can also help you find any Vail Valley service providers you may need.
Your lender will finalize your loan at this time as well. Since you’ve obtained preapproval (and you did obtain preapproval, didn’t you?), this will primarily be an examination of the property to ensure it falls within the terms of the loan.
In our next installment, we’re off the closing!