remax

Tom Vesolich
RE/MAX Executives
8442 Old Keene Mill Rd
Springfield,  VA 22152
"each office
independently owned"







































 

From Contract to Settlement

From Contract to Settlement
Now that a sales contract has been negotiated and accepted by both buyer and seller, the transaction is in the processing phase. There are many elements that must be coordinated. The three primary areas include satisfying any contingencies that exist in the contract; possibly assisting the purchaser with questions regarding arranging the financing and guiding the completion of all items required for settlement.

Satisfying Contingencies

The listing and/or selling agent(s) will work toward resolving any contingencies that may exist. The entire agreement may hinge on the satisfaction of a contingency. An option type contingency often gives one party to the contract the right to void the agreement if certain terms are not met. This situation may exist in a home inspection contingency, a financing contingency, appraisal contingency  or others. A condition type contingency requires that specific thing must happen for the sale to consummate at the stated terms. In all cases, your agent should be working to help coordinate and assist in the resolution of any contingencies.

Arranging Financing from contract to settlement is tiring
This process will often begin before a buyer even looks at properties. Once the loan application has been made, the buyer agent will work and coordinate with the lender to help the purchasers obtain final loan approval. The loan approval process usually takes several weeks. It is not uncommon that the financing and appraisal contingencies will have a 21 day period for completion.

Preparing For Settlement
From the time of contract to settlement, the activity of preparing for settlement is one of coordination with many parties. Among these are the settlement agency, the lender, the buyer, the seller, the selling agent, the termite inspection company and the appraiser. The selling agent will remind the purchaser to bring an insurance policy to settlement, inform them as to how much money will be needed at settlement, and advise the buyer as to coordinating of the utilities change over. The agent will also keep seller and buyer informed of progress and just prior to settlement, will conduct the final walk through with the buyer. The seller has to be making preparations for moving out. Unless there is a specific condition in the contract, the seller usually must be out of the home at the time of settlement.


from contract to settlement is work