Home Buying in Warrenton>Question Details

Mchrist14, Home Buyer in 20186

How long do I have to come up with the money?

Asked by Mchrist14, 20186 Thu Apr 19, 2012

My husband & I will (definitely) be coming into quite a large amount of money within the next 2 months. After paying off a few debts, we'd really love to buy our first home & pay cash to avoid monthly payments.

We've been "window shopping" at homes already, but obviously, we don't want to jump into anything until we get closer to actually having the money in-hand. Being new to all of this, I'm not very familiar with the home-buying process. How far in advance can we really dig in & start looking seriously to buy? When can we start making offers on homes, etc. once we find something we really love? How long after we show interest/make a deal on a house, do we have to come up with the money? Thanks.

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Call me we can go over this 5403411000
0 votes Thank Flag Link Fri Jul 25, 2014
You can begin immediately if you wish. However any contract you sign should have a contingency for a closing date after you expect the money has been transferred to your possession. Buying with cash is a smart idea, but you will be required to show proof of funds before it's ratified. But without knowing how you're coming into this windfall, I would wait until it's in my possession to before signing a cash offer. We have seen offers made contingent with a termination date set to accommodate purchasers expecting to receive a large cash settlement.

You will not have the opportunity to back away from a signed contract because financing could not be obtained. If you sign a contract in Virginia you have the ability to decline any purchase based on the review of homeowner's association rules and regulations. But we encourage clients only to exercise this option if there is truly a conflict with the rules and regulations. You can also decline to purchase based on the results and negotiations involved in a home inspection. If buying a home from a builder is something you're considering, you can sign a contract with an anticipated completion date past the time frame you expect to obtain the money.

If you find a home which you would consider purchasing, we encourage you to contact an agent (we come with references), and begin the process of selecting the right home. Before you walk into a model home and begin discussing the details of a builder's contract, we encourage you to consult an experienced agent. We have written several articles about the home buying process. Click here to read about the basic steps of the home buying process. Please feel free to call us if you have additional questions. We can supply you with a comprehensive homebuyer's guide which is a great reference manual to additional questions in the future. Something important to remember: agent commissions for the buyer's agent are paid by the selling party (including builders). We provide real estate services in the Warrenton area.
0 votes Thank Flag Link Thu Apr 19, 2012
It's always good to be pre-qualified by a lending institution before you start the search, so that you can determine the market that you should be looking in.
Since you plan on paying cash, when you put in an offer on a home, the sellers are going to require proof of funds. (This is proof that you have the money available to you)
You can get this in letter form from your lending institution or the bank in which the funds are placed.
You will need that money at closing.
0 votes Thank Flag Link Thu Apr 19, 2012
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