4．Deposit & Home Inspection:
Once your offer is accepted by the seller, who then signs the contract, you are expected to send earnest deposit to the seller or the assigned title company (usually within 2 business days), and conduct a professional home inspection (usually within 7 days). The purpose of the home inspection is to ensure that the property does not have major issues such as structural defects, termites, serious mold or roof leaking. When purchasing foreclosure properties, the bank/seller will use an “as-is contract” only, which means the property is sold in as-is, where-is condition. The bank/seller will not do any repairs if problems are found, but you have the right to withdraw from the contract and request your earnest deposit be returned to you, should you decide not to move forward with the purchase. Therefore, it is important that you review the inspection report carefully and notify the seller in writing within the inspection period whether you intend to move forward with the purchase. Otherwise, you stand to lose your earnest deposit . If a regular contract is used, the seller is required to fix any problems found before delivering the property for closing.