What Happens After You Go Under Contract? Your Colorado Real Estate Timeline
The moment your client signs a purchase contract, a complex orchestration begins behind the scenes. For Colorado real estate professionals, understanding this timeline helps manage client expectations and coordinate all moving parts for successful closings.
Days 1-3: The Foundation Phase
Title Work Begins: Colorado title companies immediately order preliminary title reports and begin the comprehensive title search process.
Lender Activity: Colorado mortgage lenders order appraisals, initiate income verification, and review contract terms to meet loan approval conditions.
Key Actions for Realtors:
- Submit all contract documents to the title and lender
- Schedule inspection periods with clients
- Confirm earnest money deposit with the title company
Builder/Developer Tasks: Coordinate construction completion schedules and final inspection timelines to ensure timely project completion.
Days 4-10: The Discovery Phase
Inspections Happen: Buyers conduct home inspections, specialized inspections (such as septic, well, and pest), and any required surveys.
Title Issues Surface: Preliminary title commitments reveal any liens, easement issues, or ownership problems requiring resolution.
Appraisal Process: Lenders' appraisers evaluate property value and note any required repairs or improvements.
Colorado-Specific Considerations:
- Mountain property inspections may require additional time due to access challenges
- Water rights data may be requested for rural properties.
- HOA document review for community properties
Days 11-17: The Resolution Phase
Negotiation Period: Buyers and sellers negotiate the inspection findings, repair requests, and any title issues that are discovered.
Lender Underwriting: Mortgage files move to underwriting for comprehensive review and conditional approval.
Title Clearing: Colorado title services work to resolve any outstanding issues, such as lien payoffs or boundary clarifications.
Professional Coordination: This is when strong relationships between Realtors, lenders, and title companies matter. Clear communication prevents delays.
Days 18-25: The Preparation Phase
Final Loan Processing: Lenders order final verifications, updated bank statements, and employment confirmations.
Title Preparation: Final title policies are prepared, settlement statements calculated, and closing documents drafted.
Closing Coordination: All parties coordinate schedules for the final walkthrough and closing appointment.
Colorado Requirements:
- Final water quality tests for well water systems
- HOA transfer requirements completed
- Utility transfer arrangements confirmed
Days 26-30: The Closing Phase
Final Walkthrough: Buyers verify the property's condition and confirm that the agreed-upon repairs have been completed as specified.
Document Signing: All parties gather at the title company to sign loan documents, deeds, and settlement statements.
Funding and Recording: Lenders fund the loan, title companies record new deeds, and ownership officially transfers.
Keys and Possession: New owners receive the keys and take possession according to the contract terms.
Potential Delays and How to Avoid Them
Weather Issues: Colorado weather can delay inspections and appraisals, especially in mountain areas. Build flexibility into timelines.
Title Complications: Complex ownership histories or lien issues may require additional time. Early title ordering helps identify problems sooner.
Lender Delays: Employment changes, credit issues, or documentation problems can cause delays in loan processing. Keep lenders informed of any changes immediately.
HOA Requirements: Some Colorado communities have lengthy transfer processes. Factor this into closing timelines.
Communication Best Practices
Weekly Check-ins: Successful
Colorado real estate transactions benefit from regular communication between all parties.
Proactive Problem-Solving: Address issues immediately rather than hoping they'll resolve themselves.
Client Education: Keep buyers and sellers informed about each phase to reduce anxiety and prevent unrealistic expectations.
Technology Streamlines the Process
Modern Colorado title companies offer digital platforms for document review, electronic signatures, and real-time transaction updates. Canyon Title's technology keeps all parties informed throughout the process.
The Canyon Title Advantage
Our experienced team works closely with real estate agents in Colorado, lenders, and builders daily to ensure smooth transactions. We understand Colorado's unique requirements and work proactively to prevent delays.
From contract to closing, Canyon Title's comprehensive settlement services keep your transactions on track. Contact us to discuss how our proven processes can support your business and meet your clients’ needs.