How Long After an Offer Is Made on a House?

Purchasing a home involves a series of structured timelines and processes. These durations vary significantly based on factors unique to each real estate transaction. Understanding these typical timelines is essential for managing expectations after an initial offer is submitted.

The Initial Offer and Response Timeline

When a buyer submits an offer, it typically includes an expiration date, establishing a specific window for the seller to respond. This deadline, often 24 to 72 hours, helps manage situations with multiple offers.

Several factors influence seller response time. In a seller’s market, sellers may take longer to evaluate multiple offers. In a buyer’s market, sellers respond more quickly. Seller motivation, such as a job relocation, and the offer’s complexity, including numerous contingencies, can also extend the response period.

Sellers generally respond in one of four ways: outright acceptance, a counter-offer, rejection, or no response. If an offer expires without a response, the buyer’s proposal becomes void, and they are free to pursue other properties or submit a revised offer.

From Accepted Offer to Under Contract

Once a seller verbally accepts an offer, the process moves to formalizing the agreement, becoming “under contract” or “pending.” This involves signing a purchase agreement, typically within a few days of initial acceptance. The purchase agreement legally binds both parties to the terms of the sale.

The earnest money deposit, a percentage of the purchase price, demonstrates the buyer’s serious intent. It is usually submitted within one to three business days after signing and held in an escrow account by a neutral third party, such as a title company or attorney, until closing. This deposit is often applied towards the buyer’s down payment or closing costs. Some jurisdictions incorporate an attorney review period, typically three to five business days, allowing legal counsel for both buyer and seller to review and potentially modify contract terms before it becomes fully binding.

Key Milestones During the Contingency Period

The period following formal contract signing involves addressing contingencies, which are conditions that must be met for the sale to proceed. These protect both the buyer and seller, allowing for property evaluations and assessment of the buyer’s financial capacity. Failure to satisfy a contingency typically allows a party to withdraw from the contract without penalty.

One common contingency is the home inspection. This typically grants the buyer 7 to 14 days from contract signing to complete a professional inspection. During this time, the buyer evaluates the home’s condition and can negotiate with the seller for repairs, credits, or a price reduction based on findings. If significant issues are discovered that cannot be resolved, the buyer may withdraw from the purchase agreement.

The appraisal contingency generally lasts 10 to 21 days from contract signing. It ensures the property’s appraised value, determined by a lender’s appraisal, meets or exceeds the agreed-upon purchase price. If the appraisal comes in lower than the sales price, the buyer, seller, and lender must negotiate. Options include the buyer paying the difference in cash, the seller reducing the price, or the buyer withdrawing from the contract.

The financing or loan contingency for buyers securing a mortgage typically spans 21 to 45 days from the contract’s effective date. This period allows the buyer to complete the loan application, including submitting financial documents for underwriting. Mortgage underwriting involves a thorough review of the buyer’s income, credit history, and the property’s value to assess risk.

This review can take 30 to 60 days. If a buyer cannot secure loan approval within the specified timeframe, they can usually terminate the contract without losing their earnest money. Missing any of these contingency deadlines can lead to complications, including delays or contract termination.

Final Steps to Closing

After all contingencies are satisfied, the transaction enters its final phase, leading to the closing date. This period involves finalizing all remaining details. Preparations include the lender issuing final loan approval, a title search to ensure clear ownership, and the preparation of all necessary closing documents by legal or escrow professionals. Coordination of funds for the down payment and closing costs, often via certified check or wire transfer, is also important.

The final walk-through, typically within 24 to 48 hours of closing, allows the buyer to verify the property is in the agreed-upon condition, all repairs are completed, and the seller has vacated. This final check prevents surprises on closing day.

Closing, also known as settlement, is the official meeting where ownership transfers. This meeting may involve the buyer, seller, real estate agents, attorneys, and a closing agent. Numerous documents are signed, and funds are disbursed. Once papers are signed and payments are made, the buyer receives the keys and takes possession of the home. The timeline from contingency satisfaction to the closing date typically ranges from 7 to 14 days, though the entire process from accepted offer to closing can average 30 to 45 days.