Submitting An Offer
The Fogal Group will guide you through the process of finding a property that fulfills your needs. When you have chosen a property we will draft a purchase agreement for you, advising you on protective contingencies, customary practices, and local regulations. At this time you will need to provide an “earnest money” deposit, usually from 1% to 3% of the purchase price (the deposit is not cashed until your offer has been accepted by the Seller). The buyer will choose the title and escrow company. The seller will then accept, counter or reject the offer.
Opening An Escrow
Once the offer is accepted and signed by all parties the buyers real estate professional will open escrow and the earnest money will get deposited into an escrow account. All funds associated with the transaction will be handled through escrow.
The Contingency Period
This is the time allowed per your Purchase Agreement to obtain financing, perform inspections, and satisfy any other contingencies to which your purchase is subject. Typical contingencies include:
• Approval of the Seller’s Transfer Disclosure Statement
• Approval of the Preliminary Report from the Title Company
• Loan Approval
• Appraisal of the Property
• Physical Inspections of the Property
• Pest Inspection and Certification
• Satisfaction of Any Purchase Contingencies & Specific Transaction Requirements
Homeowners Insurance
Before the close of escrow the buyer must obtain homeowners insurance that is acceptable by the lender. The real estate professional will coordinate between your insurance agent and the Escrow Officer to make sure your policy is in effect at close of escrow.
Down Payment Funds
You will need a cashier’s check or wire transfer several days prior to the closing date of escrow. Es-crow will provide a settlement statement with the required amount of funds needed to close includ-ing down payment and closing costs.
Signing Loan Documents
When all of the conditions of the Purchase Agreement have been met, you will sign your loan documents. Escrow usually sets up the appointment for your final signing.
Closing Escrow
After loan documents are signed, the buyer has deposited the remaining balance of funds needed to close and all of the purchase agreement requirements have been met the lender will review the loan documents. If everything is satisfactory the lender will fund the loan. The Deed will then be recorded at the County Recorder’s office and the buyer will take ownership of the home.
