Mortgage Calculators

Buyer & Seller's Guide: Typical Procedure for Purchasing a Home in CT

  1. Your offer will  be submitted to the listing agent and negotiated by your broker.
  2. After the offer  has been accepted, submit a written Memorandum of Terms with a  personal check for 1% of the agreed purchase price, made payable to  the sellers’ attorney’s trustee account.  This will be deposited into  a non-interest-bearing account within three days of agreement.  Then:
 a)   Buyer  makes application for mortgage immediately.  b)   All  relevant inspections will be done within seven days of agreement, at the  buyer’s expense.  c)   Contracts  are drawn by seller’s attorney and sent to buyer’s attorney to be signed  within ten business days.  d)  Buyer’s  attorney reviews contract with buyer and if satisfactory, buyer signs  contract and remits a personal check for 9% of sales price (9% and 1%  constitute the required 10% down payment on signing of sales contract).  e)  Contract is  returned with check to seller’s attorney for seller’s signature.
  1. Follow up on  mortgage processing.  A written commitment should be obtained in two  to three weeks.
  2. If mortgage is  denied, all deposit money is returned to the buyer.  When mortgage is  approved:
 a)   Letter  of commitment is sent by the bank to the buyer.  This is signed by the  buyer and returned to the bank along with any exhibits needed, as  indicated by bank.  b)   Notification  of mortgage approval is sent to buyer’s attorney by the bank.
  1. Buyer’s attorney  does the title search of the property.
  2. Closing takes  place and title is transferred from seller to buyer.  Buyer must have  verification of insurance on property for at least the mortgage amount  and a certified or bank check for the difference between the 10% down  payment plus the mortgage and the sales price.  This figure is subject  to adjustments such as taxes, fuel oil, etc.  Your attorney will give  you the correct amount, prior to closing.  Bring your checkbook in  case minor adjustments are necessary.
 NOTE:  Until the  contract is signed by both parties, the house technically remains on the  market.  It is important to get all the contingencies removed as soon as  possible to expedite the signing of contracts.
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 Information  deemed reliable but not guaranteed, and is subject to change without  notice.