Negotiations, Contracts and Closings

• Are you prepared to negotiate the contract?
  
• Do you know what your responsibilities (as the Seller) are in your area?
  
• Who will write the contract?
  
• Who will establish the 'terms' of the contract?
   
• Who will hold the Earnest Money Deposit?
  
• Will you need to hire an attorney? If so, what will the attorney's fees cost?
  
• Who will schedule the inspections?
  
• If the sale falls through, who is entitled to the Earnest Money?

TIP: Once you have an offer, it's time to negotiate.  Leave your emotions behind when you enter into negotiations.  You never want to get angry or apear that you're overly eager to sell.

Get your forms in order.  A number of forms are required for the legal sale of your property.  In addition to the contract of purchase and any counteroffers, there are several other forms that the seller may be required to provide to the buyer.

It is necessary to review the contract carefully to determine when these forms/documents are due and what the buyer's rights are once they receive the document(s). The form and content of many of these documents are prescribed by state or federal law and must be adhered to in their entirety.

Tip: In addition to the Sales Contract, you will need to complete a Seller's Disclosure and a Lead Based Paint Disclosure (if your home was built prior to 1978).

Negotiate the final terms of the sale.  Both you and the Buyer(s) need to come to an agreement (in writing) regarding the following:

• Price
• Inspection contingencies
• Financing terms
• Date of closing
• Date of possession

TIP:  Have an attorney review any and all contracts before the deal is finalized.

Final walk-through. When both the buyer(s) and a witness can be present, schedule a final walk-through before you complete settlement in order to determine that the property being conveyed meets the expectations of all parties involved. Resolve any disputes before the transfer of title.

Find and make arrangements for the home you will be moving to. Unless you have already built or bought a new residence, you'll need to be the "buyer" for a new property while simultaneously being the "seller" for your current one. If possible, schedule both transactions to close at the same time, or else close your purchase shortly before closing your sale. You need to be moved out before the new owners take possession.