Inspections & Appraisals

The Process

Initial Agreement and Deposit

A signed purchase agreement establishes the timeline and obligations for both buyer and seller. Keep written records of offers, counteroffers, and addenda. Adhering to the timeline avoids missed deadlines that can jeopardize the transaction.

The Closing Agent

A title company or attorney acts as escrow and handles funds, title search, and recording. They verify the title is clear and ensure encumbrances are correctly reflected at closing. All contingencies in the purchase agreement must be satisfied before escrow can close.

How to Hold Title

There are multiple methods for holding title, each with tax, financing, and transfer implications. Consult an attorney or tax advisor to determine the best structure for your goals. We can introduce trusted legal and tax professionals if desired.

Inspections

Schedule licensed inspectors within the contract timeline. Inspectors assess property condition and may recommend specialists (roof, plumbing, etc.). For commercial purchases, environmental audits or soil tests may be required. If inspections uncover issues, you can renegotiate terms or request repairs prior to removing contingencies.

Appraisals and Lending

Stay in close contact with your lender to ensure timely documentation. If financing is required, an independent appraiser will validate the property’s market value based on comparable sales, income, and replacement costs. Confirm loan approval two weeks prior to closing.

Association Approval

If the property is subject to homeowners’ or condo association approval, request all rules and required documentation from the seller and meet the agreed submission deadlines. The closing agent will file any approval letters with the deed at closing.

Property Insurance

Most lenders require insurance. If you plan to live in the home, obtain homeowners insurance; if you plan to rent, secure landlord insurance. Insurance protects against fire, theft, and certain weather events and supports lender requirements.