I have an accepted purchase offer on a new home, now what?

Congratulations on having your offer accepted on a house! So, now what? (You may need to reference the MN Real Estate Terms page for this one.)
Often offers are accepted verbally by the seller’s agent first while signatures are gathered from the sellers. It can take 1 – 2 days for all parties to sign and return the contract so be patient. Until we have a fully executed contract (which means everything has been signed by both the sellers and the buyers) we do not have an enforceable contract. Therefore, it’s urgent that a signed contract be received by all parties ASAP. Once all parties have received a signed copy of the Purchase Agreement, we call it a Fully Executed Purchase Agreement and the clock starts ticking on all deadlines!

Once a signed contract is received, several things need to happen:

1. You need to submit your earnest money electronically or write and drop off the first earnest money check. Typically the earnest money check is made out to the seller’s agent’s brokerage and is either in the form of a personal check or a certified check (we’ll let you know which one you need). Usually it is dropped off at the seller’s agent’s office within one business day of contract acceptance or as negotiated in the purchase agreement. When you drop it off make sure you ask for a receipt and send a copy to your agent.
2. You need to schedule the home inspection. This needs to be done ASAP.
3. Put all contract dates and deadlines on your calendar. Contract dates are firm! Please understand the difference between calendar days and business days.
4. The contract needs to be sent to the title company so they can start a file for you. If we are your Realtors, we’ll take care of this for you.
5. The contract needs to be sent to your mortgage lender. Again, if we are your Realtors, we’ll take care of this. This lets your mortgage lender know that you’re under contract and starts the process for getting you approved for the mortgage (remember, right now you’re only pre-approved). Be sure to respond promptly to your mortgage lender. Most of the paperwork from your lender is on a strict timeline. They will ask you to fill out a lot of paperwork. Some mortgage lenders joke it’s like getting a financial colonoscopy. Unfortunately, it’s not optional; it’s required and the quicker you can fill it out and get it back to them, the better.
6. Get insurance quotes from your preferred provide. Many people will bundle with their car insurance but many agents and lenders will have great referrals as well.

After the above items have been done, we’ll email you every few days with the next step. Think of it as our friendly way of giving you homework and updates to ensure a smooth transaction and to help you make sure everything gets done on time.