How is a standard home purchase transaction?
In a standard transaction with a mortgage, the escrow lasts for 30 days. Within 3 days after the contract is signed by both the seller and the buyer, the buyer will deposit a security deposit, 3% of the sale price, otherwise, the seller can cancel. Within 7 days, the seller will provide the buyer with disclosures and reports, which will prevent any future lawsuit, like death at the property within 3 years, murder at the property, fire insurance claim within 5 years, flood zone, earthquake zone, etc. Within 17 days, the buyer should review all disclosures, reports from the seller, as well as the general home inspection report if any, then the buyer will remove inspection contingencies. Within 21 days, the buyer will remove all contingencies, mainly because the loan approval should be out from the loan underwriting department and the buyer should be confident to remove. The buyer will lose the security deposit if the loan goes sour or anything preventing escrow closing.
Above information is for informational purpose only, sellers should always make sure things case by case.
We can also connect you with an agent if you need additional helps.
