If you have never purchased real estate in Connecticut, the process can seem daunting and intimidating. This outline provides a general overview of the typical real estate purchase transaction. This information should not substitute for specific legal advice with respect to any particular transaction. You should always seek the advice of an experienced real estate attorney when dealing with the sale or purchase of real estate.
The first step in the process typically involves the Purchaser making a formal written Offer to Purchase the real property. An Offer to Purchase is generally a legally binding document and can be enforced against all of the parties. Therefore, it is advisable that one seek legal advice from an attorney prior to signing an Offer to Purchase.
The Offer to Purchase, which is also sometimes referred to as a Binder, will contain the specific details of the transaction to include all of the terms of the sale. The terms should include the property address, the purchase price, the deposit amounts, the closing date, the mortgage amount and a mortgage contingency date which is the date by which the Purchaser must inform the Seller that his or her financing arrangements have been secured.
The Offer to Purchase should include an inspection contingency date, which is the date by which the Purchaser must inform the Seller as to whether or not he or she is satisfied with the condition of the property. It is recommended that a Purchaser always have the real estate inspected by a general home inspector who will analyze the condition of all systems and appliances in the property.
It is also prudent to have the property assessed to determine the existence of radon, termites or other wood destroying insects, the status of any potentially buried or abandoned oil tanks as well the existence of lead paint, asbestos, mold or any other potentially harmful condition. If the inspection process uncovers any problem areas, the purchase price can be renegotiated or the Seller and the Purchaser can agree that the Seller shall correct the deficient items prior to the transfer of the property to the Purchaser.
In Connecticut, most Sellers are required to complete a Property Condition Disclosure Form which purportedly provides the Purchaser with information regarding any potential problems or issues that the Seller has knowledge of. The general rule of thumb is that while the Buyer can and should rely on those statements, a thorough investigation of the property by an experienced home inspector is always recommended.
Please feel free to contact us for advice on all aspects of the real estate transaction process and the refinancing of existing mortgage loans. We offer a no charge initial consultation. We are available to provide competent, efficient representation for all of your real estate transaction needs.