So you've found your dream home, made an offer, and it's been accepted. Congratulations! Time to pack up and move in, right?
Not quite.
What happens between "offer accepted" and "keys in hand" is one of the most detailed, paperwork-heavy processes you'll ever experience. And honestly? It's where a lot of deals can go sideways if someone isn't staying on top of every single detail.
Let's talk about what really happens during a real estate transaction—and why having the right team managing this process can save you thousands of dollars and a whole lot of stress.
The Transaction Maze: More Complex Than You'd Think
Here's the thing about real estate transactions: they involve dozens of moving parts, multiple parties, tight deadlines, and a mountain of paperwork that would make your head spin. We're talking about inspections, appraisals, loan processing, title work, insurance, final walkthroughs, and about fifty other things that all need to happen in perfect coordination.
Miss one deadline? You could lose your earnest money. Overlook one inspection item? You might be buying someone else's expensive problem. Misunderstand one closing cost? Your budget just got blown to pieces.
"When a real estate transaction isn't handled properly, the consequences can be significant and long-lasting," says Mike Oddo, CEO of HouseJet. "You might lose your earnest money deposit, which for most buyers is several thousand dollars. You could end up purchasing a home with serious defects that weren't properly addressed. Or you might face unexpected costs at closing that completely derail your finances. But beyond the immediate financial hit, a poorly managed transaction can haunt you for years—through undisclosed property issues, title problems that surface later, or simply the opportunity cost of missing out on the right home because the deal fell apart over something that should have been managed proactively."
That's why understanding the transaction process—and having professionals who can navigate it expertly—matters so much. Let's break down some of the key elements.
Earnest Money: Your Good Faith Deposit
When your offer gets accepted, you'll typically put down earnest money within a few days. Think of this as your "I'm serious about this purchase" deposit. It shows the seller you're committed and not just kicking tires.
The amount varies, but you're usually looking at 1-3% of the purchase price. On a $400,000 home, that could be $4,000 to $12,000—not exactly pocket change. Sometimes, you will need to put down even more money to confirm for the listing agent and seller that you're not going to walk on them and the deal.
Here's what you need to know: This money goes into an escrow account, not directly to the seller. If everything goes according to plan, it gets applied to your down payment or closing costs. But if you back out of the deal for reasons not covered in your contract contingencies, you could kiss that money goodbye.
The key is understanding your contingencies. Most purchase agreements include contingencies for financing (if you can't get a loan), inspection (if major problems are discovered), and appraisal (if the home doesn't appraise for the purchase price). As long as you're backing out for one of these protected reasons within the specified timeframes, your earnest money is safe.
But miss those deadlines? That's where things get expensive. And this is exactly why having someone tracking every single date matters.
Inspection Red Flags: What Should Actually Concern You
The home inspection is your chance to really understand what you're buying. A good inspector will spend several hours going through the property from top to bottom, and you'll get a report that might be 30, 40, even 50 pages long.
Now, here's where buyers often freak out unnecessarily—or sometimes don't worry enough. Not every item in an inspection report is a deal-breaker. In fact, most aren't.
Red flags that should genuinely concern you:
Foundation issues are at the top of the list. We're talking cracks, settling, or moisture problems that could indicate serious structural concerns. Repairs here can run into the tens of thousands.
Roof problems come next, especially if you're looking at a full replacement in the near future. A new roof isn't cheap, and if the current one is already leaking or has significant damage, that's something you need to address before closing or negotiate with the seller.
Electrical and plumbing issues can be sneaky expensive. Outdated electrical panels, aluminum wiring, or plumbing that's past its lifespan—these aren't just inconveniences. They're safety concerns and potential money pits.
Water damage or mold is another biggie. If the inspector finds evidence of ongoing moisture problems or mold growth, you need to understand the source and the full extent before moving forward.
HVAC systems that are on their last legs might not stop the deal, but you should know if you're going to need a $10,000 replacement in the next year or two.
Things that usually aren't deal-breakers:
Minor cosmetic issues, small cracks in driveway concrete, a few loose shingles, outlet covers that need replacing—this is normal wear and tear. Every home has a list of minor items that need attention. Don't let a long inspection report full of small stuff scare you away from an otherwise solid house.
The real skill is knowing which issues matter and how to negotiate repairs or credits with the seller. Your agent should be helping you prioritize what's actually important and what's just noise.
Closing Costs: The Extra Expenses Nobody Warned You About
You've saved up your down payment. You're feeling good. Then someone mentions closing costs, and suddenly there's another chunk of money you need to bring to the table.
Closing costs typically run 2-5% of the home's purchase price. On that same $400,000 home, you might be looking at $8,000 to $20,000 in additional costs beyond your down payment. Yeah, it adds up fast.
So what exactly are you paying for?
Lender fees include things like origination charges, underwriting, and processing. Your lender should give you a Loan Estimate within three days of applying that breaks all this down.
Title insurance protects you (and your lender) if someone comes out of the woodwork claiming they have rights to the property. It's a one-time fee, but it's not optional.
Appraisal fees cover the cost of having a professional determine the home's market value. Your lender requires this to make sure they're not lending you more than the place is worth.
Home inspection fees are typically paid upfront, but they're part of your total transaction costs.
Escrow and attorney fees vary by state. Some places require an attorney at closing, others don't.
Prepaid costs include things like homeowners insurance premiums, property taxes, and prepaid interest. Your lender might also require you to establish an escrow account by prepaying several months of taxes and insurance.
Recording fees, transfer taxes, and various other government charges round out the list.
The good news? You'll receive a Closing Disclosure at least three days before closing that details every single cost. Review it carefully and compare it to your initial Loan Estimate. If something looks off or you see charges you weren't expecting, ask questions before you show up to sign papers.
The Importance of Proactive Transaction Management
Here's where we get to the heart of why all this matters: A real estate transaction involves dozens of deadlines, multiple service providers, constant communication between parties, and coordination of schedules. One missed deadline, one forgotten document, one miscommunication—and suddenly your closing date is pushed back, you're losing your earnest money, or the deal is falling apart completely.
This is exactly why more and more agents work with transaction coordinators. These professionals do nothing but manage the details of deals from contract to closing. They track deadlines, order services, request repairs, follow up with lenders, coordinate with title companies, and make sure nothing slips through the cracks.
What to Look for in a Real Estate Agent
When you're choosing an agent to represent you, their ability to manage the transaction process should be near the top of your criteria list. Here's what to ask:
How do you handle transaction management? Do they personally track every deadline and coordinate all the moving parts, or do they have a transaction coordinator on their team? Either can work, but you want to know they have a system.
Can you walk me through your typical transaction timeline? A good agent should be able to explain the process clearly and show you how they keep everything organized.
How do you communicate during the transaction? Will you get regular updates, or will you be left wondering what's happening? How quickly do they typically respond when you have questions?
Do you use a transaction coordinator? This is worth asking directly. Having a dedicated professional managing the paperwork and deadlines means your agent can focus on advocacy and negotiation while someone else handles the administrative details.
What happens if there are problems during inspection or appraisal? You want an agent who can navigate challenges, not someone who disappears when things get complicated.
The Bottom Line
Buying or selling a home is one of the biggest financial transactions most people will ever make. The period between contract and closing might only be 30-45 days, but what happens during that time has serious financial implications—both immediately and potentially for years down the road.
At HouseJet, we believe in managing every detail of the transaction process proactively. That means staying ahead of deadlines, communicating clearly with all parties, addressing potential problems before they become deal-breakers, and making sure our clients understand exactly what's happening at every stage.
Because at the end of the day, getting to the closing table successfully isn't just about finding the right house—it's about having the right team managing all the details that get you there. The keyword there is team, as it's hard for one agent to manage everything in a real estate transaction...especially the closing process and details.
