Step 7

Make Sure Everything’s In Order

Congratulations! Your offer has been accepted. Now it's time to make sure everything's in order.

Legal Review

While your Dream Town Realtor® has prepared a contract based on professional experience and common practice, have an attorney review it - a contingency for such a review is included in your offer. Usually the legal review needs to be completed within a few working days of acceptance. Many attorneys handle real estate closings; attorneys who specialize in them usually work for a set fee, often significantly lower than what general-practice attorneys charge.

Your Dream Town Realtor® will recommend several local real estate attorneys. Make sure they're available on your closing day, and that their fees fit your budget. Try to assess from your first phone conversation with each attorney whether you are comfortable working with this person, since he will be protecting your interests until the closing. The attorney will help you prepare for the closing and do whatever is possible to ensure that it's successful. His fees are paid at the closing.

Finding the right Chicago Home Inspector

Buying a home is probably the most substantial investment you'll ever make. It is imperative that you employ a professional home inspector to protect your investment. You might be able to pick out some of the defects on your own, but you'd be surprised how many you missed. A professional Chicago home inspector has a trained eye that can identify a broad range of defects and problems including:

• Defects in a home foundations
• Presence of lead paint or pipes and asbestos
• Plumbing and sewer that is not up to code or leaking
• Roof and skylight leaks
• Problems with wiring and the electrical system
• Substandard finishes
• Mechanical defects in heating and ventilation systems

Make an inquiry with your local Chicago realtor to locate a reputable home inspector in your area. Your realtor has most likely had prior dealings with local Chicago home inspectors. Your realtor can provide you with some recommendations. The sign of a good home inspector is one that not only notifies you of any issues, but also explains their degree of importance. The last thing you want is to get an inspection report full of minor issues when you are actually purchasing a home that's on the verge of collapse.

Before choosing your home inspector, have them provide you with a print out of a recently prepared report for a property akin to yours. If you like what you see, you just might have found your guy. Make sure you read the entire document, including the fine print. Identify any subject matter that the report will disregard and what, if any, warranties are being made.

Although the home inspection industry is still a stage of development, the State of Illinois has now made steps to protect consumers by licensing the home inspection industry. Ask the inspector about their credentials and how much experience they have in the Chicago area. Two of the nation's biggest organizations responsible for certification of professional home inspectors are the National Association of Home Inspectors (NAHI) and the American Society of Home Inspectors (ASHI).

Walk through the home with the inspector, who can point out any major problems as well as minor ones that you may not have noticed during your prior visit(s). By the end of the inspection you should know what kind of repairs you'll need to make if you go through with the sale, and be able to make an educated guess about the costs involved. If, because of new information in the inspector's report, you are no longer satisfied with the condition of the house, you can either cancel the contract, or negotiate to have the Seller fix the problems or lower the purchase price to compensate for the repairs.

Home inspectors are not licensed architects or contractors. Their role is to provide you with an initial identification of a problem. If an inspector finds any structural problems, you may want to another inspector or professional in the field advice you before proceeding. For example if the electrical system seems faulty, seek the council of an electrician. If foundation is found to have cracks, hire a structural engineer. It's imperative that you are completely aware of any problems with the property prior to signing your name on a contract!

Chicago Home Inspection: Get the "Whole Story."

A professional inspection of your Chicago home might be one of the best investments you can make. You should exercise due diligence and obtain all the disclosures available from the seller. People hate getting ripped off. The bigger the purchase the more time people spend researching it, and buying a home is one of the biggest purchases you can make. By law in Illinois, sellers are obligated to complete a real estate disclosure report. Here are some examples of flaws that require disclosure:

• Plumbing system - water treatment and sprinkler systems, swimming pools, and water heater.
• Electrical system - heating, air conditioning, and ventilations systems.
• Defects and hazardous conditions - flood plain locations, roof/ceiling/chimney conditions, septic and sewer issues.
• Violations - which violation has not been corrected relating to the property, regarding local, state, or federal laws or regulations.
• Presence of asbestos or lead paint

This list is not complete. Talk to you Chicago realtor to get a current copy of Illinois's seller's disclosure list. If the seller knowingly conceals anything on this list, you have the right to take legal action.

There are some things to consider when looking to buy a condominium as well. There might some restrictions with the deed or code. It would be a good idea to get a copy of the minutes from the last few meetings that the condominium's board held. This will show you any recent problems or planned expenses that my affect you.

Your Chicago real estate agent can help answer any questions that you have about seller disclosures. Spend a little extra money and hire a home inspector that will conduct a thorough examination of the property.

Home Warranty Protection

If you're purchasing a newly built home, the builder/ developer may offer a full or limited warranty on materials and workmanship, typically for one year from the date of purchase. At closing, the builder will also assign to you the manufacturer's warranties that were provided to him for materials, appliances, and fixtures.

If you're purchasing a resale home, you can buy warranties that will protect you against most ordinary breakdowns for at least the first year of ownership. The Seller may also offer you a warranty as part of the overall package.

Things to Consider About a Home Warranty

It's comforting to know that your new Chicago home is under warranty. When you buy a new home, everything might be in good working order. However there's no telling when something will go wrong. Home warranties are a step up form home inspections. Inspections identify any current problems in the property; a warranty protects you from future ones. Think about the following when deciding whether or not to purchase a Home Warranty.

• They are not very expensive - A few hundred dollars will cover you for the entire year. Some sellers will include a warranty when you buy the home. A home warranties can be especially important when buying an older Chicago home.
• Many have a deductible - Know this amount before hand. If you don't have warranty protection, and something does require repairs in the future, you could have to pay extra for repairs.
• There are different amounts of coverage - Some plans only cover specific systems in the home, while others are all inclusive. It's up to you to decide how much coverage you want your home to have.
• They involve using certain service providers - Many warranties require you to use specific service providers. See what your warranty stipulates.
• Requests can be processed at anytime - Something can go wrong at anytime, not just when you're home some Saturday afternoon.

Property Appraisal

Your lender will require an appraisal. This is neither a true home inspection nor an assessment of the home's true market value. The appraisal reassures the lender that the value of the house is at least as great as the loan amount.