What Happens Between Signing the Contract and Closing? A Florida Buyer's Guide

Buying a home is exciting, but many buyers are surprised to learn that signing the contract is only the beginning of the transaction. Several important steps take place before you ever sit down at the closing table.

Understanding what happens during this period can help you feel more confident throughout the process and avoid unnecessary surprises.

Here's what you can typically expect after the contract is signed.

1. The Earnest Money Deposit Is Delivered

Shortly after the contract is executed, the buyer submits the earnest money deposit to the escrow agent identified in the contract.

The deposit demonstrates the buyer's good faith intent to complete the purchase and is held in escrow until closing. Assuming the transaction closes, the deposit is typically credited toward the buyer's purchase price or closing costs.

2. The Inspection Period Begins

One of the first major milestones is the inspection period.

During this time, buyers often hire professionals to inspect the property, including:

• General home inspections

• Roof inspections

• HVAC inspections

• Plumbing inspections

• Electrical inspections

• Pest or termite inspections

The goal is to identify any issues before the inspection period expires. Depending on the contract, buyers may negotiate repairs, request credits, or decide whether to move forward with the purchase.

3. Title Work Gets Underway

While inspections are taking place, the title company or real estate attorney begins examining the property's title history.

This process helps identify issues that could affect ownership, including:

• Mortgages

• Judgments

• Liens

• Unpaid property taxes

• Easements

• Boundary concerns

• Ownership discrepancies

If any title issues are discovered, they are typically addressed before closing so the buyer receives clear, marketable title.

4. Financing Moves Forward

If the purchase is being financed, your lender continues processing your loan.

This often includes:

• Ordering the appraisal

• Verifying income and employment

• Reviewing financial documents

• Completing underwriting

• Issuing final loan approval

Even after receiving preapproval, buyers should avoid making large purchases, opening new credit accounts, or changing employment until after closing, as these changes can affect loan approval.

5. Insurance and Closing Preparations

As closing approaches, several final items begin falling into place.

The buyer typically:

• Obtains homeowners insurance

• Reviews the Closing Disclosure

• Coordinates the transfer of utilities

• Schedules the closing appointment

• Arranges to wire the funds needed for closing

Your attorney, title company, lender, and real estate agents are all working together behind the scenes to ensure everything is ready for closing day.

6. The Final Walkthrough

Usually within 24 hours before closing, the buyer completes a final walkthrough of the property.

The walkthrough is an opportunity to confirm that:

• The property is in substantially the same condition as when the contract was signed.

• Any agreed-upon repairs have been completed.

• Included personal property remains at the home.

• No new damage has occurred.

While it is not another inspection, it is an important final step before ownership transfers.

7. Closing Day

On closing day, the parties sign the necessary documents, funds are disbursed, and once all closing requirements have been satisfied, ownership officially transfers to the buyer.

Congratulations, you're officially a homeowner.

Why Having a Real Estate Attorney Matters

Although many of these steps occur behind the scenes, each one plays an important role in protecting your investment.

A real estate attorney helps review title issues, explain legal documents, coordinate with the lender and title company, and work to ensure your interests are protected from contract through closing.

Buying a home is one of the largest financial decisions most people will ever make. Understanding the process helps eliminate uncertainty and allows you to move into your new home with confidence.

Buying or selling your home? Contact me for help!