Due Diligence, Contract, and Signing
Mortgage Application and Commitment
(Estimated timeframe: 5 to 7 days)
Once an offer is accepted, a deal sheet is then distributed between the brokers and attorneys. After this, the seller’s attorney will prepare and send a sale contract. Along with the building financials, house rules, and by-laws, to your attorney to review. This due diligence period between both sides can take one to two weeks, depending on the specific issues that come up during the attorneys’ evaluation and back and forth regarding contract rider notes, if any.
Assuming that the home inspection turns up with no issues and both parties are happy with the sales contract, the buyer signs the contract and makes the 10% escrow down payment delivered to the seller. Once the seller countersigns it and sends it back to your attorney, you now have a binding contract of sale.
Possible contingencies include mortgage financing, repairs, and closing dates.