Now That I’ve Negotiated, What Do I Do Next?
Once you are under “contract” here are a few things you need to do as well:
1. Purchase Insurance
You are required to purchase homeowners insurance if you have a mortgage. Make sure you purchase enough to fully cover your home, and your belongings, in case of a total loss.
2. Have an Inspection Done:
This is optional in some cases. Inspections generally cost a couple hundred dollars but will bring to light any major issues or concerns with the home. The Purchase Agreement can be contingent on the outcome of the inspection, so if you don’t like what you find you can withdraw the agreement and keep looking.
3. Determine the Status of Utilities:
In a traditional home sale, with sellers as occupants, you’ll want to check on the status of the utilities required by the home. Outstanding invoices for items such as water, gas, and electric should be paid in full by the owners by closing. You will also want to have the services transferred to you name for billing. In a foreclosure, or vacant home sale, in which the water has been turned off, contact the city to turn the water back on and check for broken or damaged pipes.