Closing the Sale

There’s just a few more things to wrap up before everything is finalized. Take note of these guidelines when closing a property sale.

Conducting Inspections, Appraisals

Buyers will typically have a licensed inspector evaluate your property within the agreed timeframe in the purchase contract, sometimes with multiple inspectors for specialized opinions. If financing is required, a licensed appraiser will assess the property for the mortgage lender to ensure its value. For commercial properties, buyers might conduct environmental audits or soil tests as required by lenders.

Assigning a Closing Agent

A title company or attorney will be assigned as the closing agent to examine and guarantee clear title to the property. They will review the property’s history and certify that the title will be free of encumbrances by the closing date.

Reviewing Contingencies

Contingencies are conditions that must be met for a contract to be binding. For example, satisfactory home inspection reports may be required. Before finalizing the purchase, the buyer will secure financing and insurance, review preliminary title reports and disclosure forms, and inspect the property. Inspections might include roofing, termite/pest, chimney/fireplace, property boundary survey, well, septic, pool/spa, arborist, mold, lead-based paint, HVAC, etc. Based on the inspections, contingencies are either removed, bringing the transaction closer to closing, or the buyer may seek to renegotiate terms. Handling these requests fairly is crucial, and a skilled listing agent can provide invaluable assistance.

Buyers Pre-Approved for Loans

Accepting buyers with a lender’s pre-approval, approval letter, or written loan commitment offers stronger assurances of loan approval than pre-qualification. Expect a lender-appointed appraiser to confirm the selling price is appropriate.