From the deed of sale to moving in. These are the final steps (house buying part 5)
Time to get started on your financing!
The house hunt was a success! The purchase contract has been signed, so you can start packing your boxes. Still, you better save that bottle of champagne for a little while longer. Remember those resolutive conditions? There is still quite a bit to be done before you can get the move underway. First, it's time to get started on your financing.
In the five-part blog series "Buying a house" we discuss how to determine what kind of house suits you, what to bear in mind during a viewing, how to bid and negotiate, everything about the preliminary sales contract, and arranging your mortgage.
We are open to a good checklist. Therefore, we conclude this five-part blog series with - yes - a list. Because after you have signed the deed of sale, there are still a few things you need to go through before you can open the door to your dream home.
Note: the checklist below has a time limit. After all, you can only hover between signing your sale deed and transferring ownership for a short time. This period is one of the factors you include in the deed of purchase, and you and the seller will determine it in collaboration.
Applying for a mortgage can be complicated, especially if it's your first mortgage.
Getting a mortgage
Once you've signed the sale deed, you can start arranging the mortgage. After all, without a deed of sale, no mortgage, and without a mortgage - most likely - no house.
Applying for a mortgage is complicated, especially if it is your first mortgage. Therefore, it is wise to hire an advisor for mortgage advice and help with the application and closing of the mortgage. The advisor gives guidance based on your financial situation and determines what insurance and mortgage suit you. If approved, an appropriate mortgage will be completed.
There it is again! In the blog signing the preliminary sales contract, we already talked about the technical inspection as a resolutive condition in the sales contract. Including the building inspection as a condition of sale is a first step, but you can only arrange for it to be carried out after signing the sale deed.
You, the buyer, and the surveyor will tour the house to see if there are any defects or overdue maintenance. Suppose these are found to be present during the inspection. In that case, there are two possibilities: it is seen as a resolutive condition, and the sale will not take place, or the buyer and seller renegotiate the selling price. A building inspection costs approximately € 450,-.
A validated appraisal is required to secure financing for your home. Based on this, will the funding go through or not
Mortgage providers require an appraisal report to secure a mortgage. They want to know what the house, the collateral, is worth, and that depends on several factors. For example, the municipality in which the home is located, the neighborhood, the number of amenities, number of square meters of area, etc.
This mandatory appraisal also called a validated appraisal, is needed to secure financing for your home. Based on the appraisal report, the financing goes through. If the funding does not come around, the purchase will be dissolved (usually free of charge) as long as it is within the agreed-upon time frame.
Completion after final inspection
You must take a really good look at the house during a final inspection round. You may have agreed to take over certain things in the house, such as the refrigerator or blinds. Check that everything is present. Also, check that all rooms and possible built-in cupboards have been cleared out; you don't want to clear out all the previous occupant's junk before you move in. Were there any defects? Check to make sure they have been repaired as agreed.
You and the selling party agree about the completion date, taking over the property, or removing any mess. This agreement is included in the deed of sale.
Request this yourself if something has yet to be agreed upon about the final inspection round. You need to know the property's condition before you sign and take ownership. Then, it is time to visit the notary together when everything has been checked, and the house is delivered as agreed.
Payment of the purchase price
The purchase price is what the buyer pays the seller to become the owner of the house. The notary processes this payment. The notary ensures that the purchase price is transferred to the seller's account, and you will find this amount on the bill of sale.
Besides the purchase price, there are other costs on the invoice of settlement, namely:
Transfer tax This is 2% of the purchase price.
Settlement of charges Charges such as municipal taxes and fees, such as property tax and water board charges, but also service charges.
You and the seller of the house visit the notary for the transfer of ownership. After finishing all the above, you can finally sign the transfer deed. To make it official, the notary will also sign it. The deed of sale you signed earlier forms the basis for the deed of transfer.
So are you the owner now?
Not necessarily. You are only the house owner once the notary has registered a copy of the deed of delivery at the Land Registry. This is done in digital form. Once registered at the Land Registry, it's for real, and you are the house owner. Congratulations!