Purchasing a Home in Massachusetts

Home buying practices vary widely from state to state, and in Massachusetts, they even vary from county to county. In Barnstable County on Cape Cod, the following is a summary of what steps are involved when you buy a home through The Lisa Kenny Team .

Agreements – The first agreement is the Offer to Purchase, a legal, binding contract which states the basic terms such as price, occupancy, deposit funds, financing and inspection contingencies. The second agreement is the Purchase and Sale Agreement, which is signed by both Buyer and Seller approximately ten days after the Offer. It repeats the terms of the Offer and expands upon them.

Deposits – The customary earnest money attached with the Offer is $500 to $1,000. When the Purchase and Sale Agreement is signed, an additional deposit totaling 5-10% of the purchase price is required to accompany it. These deposits are held in escrow by the listing broker’s office.

Inspections – We recommend a mechanical, structural and pest inspection by a licensed building inspector. These inspections should be completed by the signing of the Purchase and Sale Agreement, and are at the Buyer’s expense.

Financing – It normally takes about four weeks to obtain a mortgage loan commitment. The application must be made immediately after an offer has been accepted. We can assist you in obtaining financing. The average time frame from accepted offer to closing is 45 to 75 days.

Bank Attorney – The attorney who represents the lending institution conducts the closing. He searches the title to the property and guarantees it to the lender. He also prepares the HUD settlement statement and notifies you of the amount you are required to bring to the closing. He will record the transfer of the deed at the Barnstable Registry of Deeds. If this is a cash sale, you will need to retain an attorney to search the title, prepare the HUD, conduct the closing and record the deed.

Realtor – Your Buyer Agent represents you and your interests, and coordinates the entire transaction from beginning to end.

Possession – It is customary for the Buyer to take possession of the property immediately after the deed has been recorded. Just prior to the closing, you are entitled to walk through the property to verify that what you agreed to purchase many weeks ago is in the same condition as it was at the time of the offer.