First Time Homebuyers Guide

1. Offer to Purchase

Your journey begins when you submit an Offer to Purchase in writing, accompanied by a small deposit (usually $500–$1,000). This offer will include key details such as:

• The date by which the Purchase & Sale Agreement must be executed
• The date you must submit a loan application
• The mortgage commitment deadline
• The closing date
• Any contingencies (home inspection, condo document review, closing cost credits, etc.)

2. Purchase & Sale Agreement

Once your offer is accepted, your attorney and the seller’s attorney will negotiate the terms of the Purchase & Sale Agreement (P&S).

After the P&S is signed, you’ll deliver a second deposit check payable to the same entity as your initial deposit. Depending on the amount, this may need to be a bank check or money order.

Note: The P&S can be signed electronically — originals are not required. Your real estate broker will coordinate the signing.

3. Financing

Select your lender and submit your loan application. While this may begin before the P&S signing, your lender will need a fully executed copy to move forward.

Critical: You must obtain a commitment letter from your lender on or before the commitment date specified in the P&S.

• Ideally, the commitment letter will have no conditions to meet before closing
• Realistically, it may require minor items like recent tax returns or bank statements
• If your lender cannot provide a commitment letter in time, your attorney can request an extension
• If financing falls through before the deadline, notify the seller’s attorney in writing and your deposits will be returned

Homeowner’s Insurance: You must obtain homeowner’s insurance before closing. For condominiums, the master policy covers the building — H06 insurance for your unit’s interior is optional but highly recommended.

4. The Closing

Once financing is confirmed, you’ll receive a Closing Disclosure from your lender at least three days before closing. This document details exactly how much money you’ll need to bring.

Funds

You can wire funds to the closing attorney’s office or provide a bank check/money order. Customarily, checks are made payable to yourself, and you’ll sign them over to the closing attorney at the table.

Final Walk-Through

Schedule a final walk-through of the property the day before or morning of closing to verify the condition.

At the Closing Table

• Bring a valid photo ID
• Bring the required funds (exact amount from Closing Disclosure)
• Sign all closing documents

After Signing

Documents are recorded at the appropriate Registry of Deeds. If closing is completed early enough, recording happens the same day (registries stop recording at 4 PM).

Your keys will be held by your broker or attorney until everything is officially on record. Once recorded, you’re the legal owner and can take possession of your new home!