How Long Does It Take to Sell a House Once Offer Accepted?

An accepted offer on a house marks a significant step toward homeownership. This moment is the beginning of a structured process. A series of steps unfold, each with its own timeline, before the sale can be finalized. Understanding this journey helps manage expectations and navigate real estate transactions.

From Accepted Offer to Executed Contract

The initial verbal agreement transitions into a legally binding written purchase agreement, often called the contract. This document formalizes the understanding between buyer and seller, outlining the price, closing date, and any specific conditions or contingencies. It also details the earnest money deposit, a financial commitment from the buyer.

Earnest money typically ranges from 1% to 3% of the home’s sale price. This sum is held in an escrow account by a neutral third party, such as a title company or an escrow agent. The deposit serves as a credit toward the down payment or closing costs at settlement.

Once the purchase agreement is executed, the process of opening escrow or title begins. This involves establishing an account with a title company or escrow firm, which acts as a neutral administrator. This entity handles the earnest money, manages documents, and facilitates the exchange of funds and property title at closing.

Navigating Buyer Contingencies

Following the executed contract, specific conditions, known as contingencies, must be satisfied before the sale can proceed. These provisions protect the buyer, allowing them to withdraw from the contract without penalty. These stages involve negotiations and can influence the overall timeline.

The home inspection contingency allows the buyer to assess the property’s condition. Buyers typically have 7 to 10 days to conduct professional inspections, covering structural integrity, major systems, and potential hazards. Based on the report, the buyer can accept the property as is, request the seller to make repairs or offer credits, or terminate the contract.

An appraisal contingency ensures the property’s value supports the loan amount. A licensed appraiser evaluates the home. If the appraised value is less than the purchase price, the buyer may renegotiate, pay the difference in cash, or withdraw. This process usually takes 1 to 2 weeks for the appraisal to be completed and reviewed.

A financing contingency stipulates that the buyer must secure a mortgage loan to complete the purchase. This condition provides an exit strategy if the buyer is unable to obtain financing within a specified timeframe, typically 30 to 60 days.

Buyer Loan Underwriting and Approval

Once contingencies are addressed, the mortgage application moves into the underwriting phase. The lender evaluates the buyer’s financial qualifications and the property. This internal review determines whether the loan will be approved and under what terms. The underwriter acts as the lender’s risk assessor, ensuring all criteria are met.

Underwriters verify documentation, including income, employment history, and asset statements. They also review the buyer’s credit report to assess financial responsibility and debt-to-income ratios. Property appraisal results are integrated, confirming the home’s value aligns with the loan amount.

This process culminates in either a conditional approval or a “clear to close” status. Conditional approval means the underwriter has approved the loan subject to outstanding conditions, such as providing additional documentation. Once all conditions are satisfied, the loan reaches the “clear to close” stage, signifying final approval for funding. The underwriting process generally takes between 30 to 45 days.

Final Preparations and Closing Day

As the transaction nears completion, final preparations are made before the transfer of ownership. The final walk-through, typically conducted 24 to 48 hours before closing, is a key step. This allows the buyer to confirm the property is in the agreed-upon condition, ensuring any negotiated repairs have been completed and no new damage has occurred.

Buyers receive the Closing Disclosure (CD), a five-page document detailing all final loan terms, closing costs, and financial transactions. Federal regulations require lenders to provide this document at least three business days before closing, offering time for review. This ensures transparency regarding the total funds needed to close.

On the closing day, all parties, including the buyer, seller, and their representatives, gather to sign legal documents. These include the deed, which transfers property ownership, the mortgage or deed of trust, and the promissory note. Funds are transferred, the deed is recorded, and keys are handed over, completing the home sale.