Purchase Process
Purchasing a Property - What to expect
The process of purchasing a property with the Investor Ring from property selection to close of escrow should take approximately 30 days.
1) Please keep in mind that it is your responsibility to expedite the purchase process once you have reserved a property. By reserving a property you have in effect taken it off the market and have made it unavailable to other investor ring members. At that point the developer cannot market or sell it to other members. Please be a courteous member!
2) You will select your property by emailing the developer immediately following the conference call. These are reserved on a first-come-first-serve basis so you will need to list your alternate choices in your email as well. The developer will then contact you to verify your selection.
3) You will receive a purchase agreement, CC&R’s document, purchase instructions and a list of lenders familiar with this project via overnight carrier in the next few days.
4) Sign the purchase agreement and initial conditions document and make copies for yourself and return it with your deposit to the escrow attorney or title company as outlined in your instructions.
5) Next contact the lenders on the list provided (or your personally preferred lender) to find the best mortgage loan for your purchase.
6) Select your preferred lender and mortgage loan. The mortgage broker/bank will then need a copy of your purchase agreement and some of your personal financial information to begin the mortgage qualifying process.
7) Stay in contact with your mortgage broker/bank to ensure your approval and that the purchase process is proceeding as it should.
8) Once your financial information is complete and the lender has approved you for the loan you will receive loan documents in the mail to sign and notarize. This package will include the escrow charges and instructions. Complete this process and overnight the documents back as instructed.
9) Escrow will close and you will now officially own the property. You will receive your construction rebate (if applicable) and a payment coupon book and instructions for making your mortgage installment payments. *
*Some banks may require that an account be opened with them in your name and that your construction rebate from the developer (If applicable) be deposited in this account. This will be done for you during escrow. They will then set up auto-withdrawal for your mortgage payments but also send you a payment statement each month. This is your money and your account! Most other lenders allow the construction rebate to be sent directly to you. We recommend you set up a separate account with automatic withdrawal to make your mortgage payments and then leave that money alone! This will ensure that your payments are always made on time.