The Washington Home-Buying Process: Your Step-by-Step Checklist

Ask your agent for a comparative market analysis (CMA) showing recent sales of similar homes in the same neighborhood. Compare square footage, condition, lot size, and days on market to gauge whether the listing price is fair. Understanding market conditions — whether it favors buyers or sellers — helps you decide how much to offer and what terms to include.

Cost: $0

In western Washington, most residential transactions use NWMLS Form 21, the standard Residential Real Estate Purchase and Sale Agreement. The contract is not binding until both parties have signed and the signed copy has been delivered or communicated to the other party — this is called mutual acceptance, and all contingency deadlines run from that date. Your agent will fill in the purchase price, earnest money amount, closing date, and any contingencies you want to include.

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Earnest money is a good-faith deposit that shows the seller you are serious. In Washington, once your offer is accepted, the brokerage holding the funds must deposit the earnest money into their trust account within one banking day of receipt — weekends and holidays do not count. Typical earnest money in Washington ranges from 1% to 3% of the purchase price, though competitive markets sometimes see higher amounts. If the sale falls through due to a failed contingency, you are generally entitled to a refund.

Cost: 1%-3% of purchase price (applied toward closing costs)

Your offer will likely include contingencies — conditions that must be met before the sale is final, such as a satisfactory home inspection or approved financing. You can also ask the seller to contribute toward your closing costs or make repairs. Under post-NAR settlement rules, any agreement for the seller to pay your buyer's broker's compensation must be negotiated directly in the purchase and sale agreement rather than advertised on the MLS.

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Mutual acceptance happens when both buyer and seller have signed the purchase and sale agreement and the signed copy has been communicated to the other party. This exact date and time matter because every contingency deadline — inspection, financing, appraisal — is calculated from the mutual acceptance date. Write it down and confirm it with your agent so you do not accidentally miss a deadline.

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Washington sellers are required to complete Form 17, the Seller Disclosure Statement, under the Seller Disclosure Act (RCW 64.06). It covers what the seller knows about the home's physical condition, systems, environmental hazards, and legal issues. If you receive Form 17 after signing the purchase agreement, you have three business days to rescind the contract if you are not satisfied with what is disclosed — so read it carefully and ask your agent to flag anything unusual.

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Washington is not an attorney state — closings are handled by licensed escrow agents and title companies rather than lawyers. Your agent or lender will typically recommend a licensed escrow company to act as a neutral third party. The escrow company will hold your earnest money, prepare closing documents, manage fund disbursements, and record the deed with the county after closing. You are not required to use the escrow company recommended to you, so feel free to shop around.

Cost: $0 to open (escrow fee paid at closing)

The escrow or title company will search public records and issue a preliminary title report showing any liens, easements, encumbrances, or ownership disputes attached to the property. Review it with your agent to make sure there are no surprises — for example, an unpaid contractor's lien or an easement that restricts how you can use the property. You will purchase a title insurance policy at closing to protect yourself against defects not found during this search.

Cost: $0 (title insurance premium paid at closing, varies by price)

If you are buying in a community with a homeowners association, request the governing documents, budget, meeting minutes, and reserve fund information. Washington has two separate legal frameworks: communities formed before July 1, 2018 are governed by the Washington Condominium Act (RCW 64.34), while newer communities fall under the Washington Uniform Common Interest Ownership Act or WUCIOA (RCW 64.90). The resale certificate from the association will tell you about current dues, special assessments, and any pending litigation — all of which affect your costs and your ability to use the property.

Cost: $0-$300 (seller typically pays for resale certificate)

As soon as you are under contract, call your lender and give them the fully executed purchase and sale agreement. They will send you a Loan Estimate within three business days of receiving your formal application. Review it carefully and ask questions about any fees you do not recognize. Your lender will also order the appraisal during this phase.

Cost: $0 (application fee may apply)

Washington requires home inspectors to be licensed by the Department of Labor and Industries. Hire an inspector with experience in the Pacific Northwest because local conditions — heavy rainfall, seismic risk from the Cascadia Subduction Zone, and wood rot — require specialized knowledge. Your inspector will evaluate the foundation, roof, electrical, plumbing, HVAC, and more, then give you a written report. Plan to attend the inspection in person so you can ask questions.

Cost: $400-700 typical

A sewer scope uses a camera to inspect the sewer line from the house to the city main. In older Washington neighborhoods, sewer lines are often made of clay or cast iron and can crack, collapse, or become infiltrated by tree roots. A sewer scope costs a few hundred dollars and can save you from a repair bill that runs into the thousands. Your general home inspector may or may not include this — ask before you book.

Cost: $150-350 typical

Washington's wet climate is hospitable to wood-destroying organisms like carpenter ants and various wood-rot fungi. If you are obtaining a VA loan, a wood-destroying pest inspection is a hard underwriting requirement — the inspection must be performed by a state-licensed pest inspector and any active infestation or structural damage must be remediated before the loan can close. Even if you are not using a VA loan, a pest inspection is a smart investment in Washington, especially for older homes.

Cost: $100-300 typical

Your inspector will deliver a written report, usually within 24-48 hours of the inspection. Read the entire report and separate major structural or safety issues from minor maintenance items. Major items — things like a failing roof, outdated electrical panel, or foundation cracks — are worth negotiating over. Minor items like dripping faucets are usually not worth holding up a deal. Share the report with your agent and decide what, if anything, you want to ask the seller to address.

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After reviewing the report, you have three options: accept the property as-is, ask the seller to make repairs or provide a credit, or walk away and get your earnest money back. Your purchase agreement specifies how many days you have to submit your response — missing this deadline can mean losing your right to back out based on inspection findings. Work with your agent to draft a clear, prioritized repair request or credit request if you want to negotiate.

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Federal law requires sellers of homes built before 1978 to disclose known lead-based paint hazards, provide any available records, and give you the EPA pamphlet 'Protect Your Family From Lead in Your Home.' You are entitled to a 10-day period to conduct a lead-based paint inspection unless you waive this right in writing. Washington's Form 17 includes a lead-based paint section, but completing that form does not substitute for compliance with the federal disclosure requirement.

Cost: $250-500 if you choose to hire a certified lead inspector

A rate lock guarantees your interest rate for a set period — typically 30, 45, or 60 days — so that market fluctuations do not change your payment before closing. Talk to your lender about when to lock: locking too early can be expensive if closing is delayed, but waiting too long exposes you to rate increases. Get the rate lock confirmation in writing with the expiration date clearly stated.

Cost: $0-$500 depending on lock period and lender

Your lender will likely come back with follow-up requests — a letter explaining a large deposit, documentation of a gift from a family member, or an updated pay stub. Respond to every document request as fast as possible because delays on your end push back the closing date. Keep a folder of all financial documents ready so you can turn things around quickly.

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Your lender will hire an independent, licensed appraiser to confirm the property is worth at least the purchase price. The appraiser will visit the home, measure it, note its condition, and compare it to recent sales nearby. You typically pay for the appraisal upfront or at closing. If the appraised value comes in below your purchase price, you will need to renegotiate with the seller, make up the difference in cash, or exercise your appraisal contingency to cancel the contract.

Cost: $600-1,000 typical

If the appraisal comes in lower than your purchase price, you have several options: ask the seller to lower the price to the appraised value, bring extra cash to close the gap, challenge the appraisal with comparable sales data (your agent can help), or walk away if your contract includes an appraisal contingency. Work with your agent quickly because your loan cannot fund for more than the appraised value without the extra cash from you.

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A loan commitment letter means the underwriter has reviewed your file and is ready to approve the loan, subject to any outstanding conditions like final verification of employment. This is sometimes called a 'clear to close' once all conditions are met. Keep your finances stable from now until closing — do not open new credit accounts, quit your job, or make large purchases, because any of those changes can trigger a new round of underwriting.

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Federal law requires your lender to give you a Closing Disclosure at least three business days before your closing date. It shows every fee you will pay: origination charges, prepaid interest, homeowner's insurance, title insurance, escrow fees, and more. Compare it line by line to the Loan Estimate you received earlier and ask your lender to explain any differences. Do not bring a check to closing until you have verified the final cash-to-close amount on this form.

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Schedule a final walkthrough within 24-48 hours of closing to confirm the property is in the same condition as when you made your offer, that any agreed repairs have been completed, and that nothing has been removed that was supposed to stay — like appliances or light fixtures listed in the contract. If you find a problem during the walkthrough, contact your agent immediately rather than signing closing documents and hoping for the best.

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Your escrow company will tell you the exact amount you need to bring to closing. Most Washington escrow companies require a wire transfer rather than a personal check for large amounts — confirm this in advance and wire the funds a day early to avoid delays. Be alert to wire fraud: criminals target real estate closings. Always verify wiring instructions by calling the escrow company at a phone number you find independently — never use contact details from an email.

Cost: Varies (your total cash to close, typically 2-5% of purchase price beyond down payment)

Your lender will require proof of a homeowners insurance policy before funding your loan. Shop for coverage early and make sure the policy amount is at least enough to rebuild the home. In Washington, some areas near water may require additional flood insurance and homes in wildfire-prone regions may have limited coverage options. Provide your escrow company and lender with your insurance binder or declaration page before closing day.

Cost: Varies (annual premium typically $800-2,000+ depending on location and coverage)

Contact your escrow officer to confirm when and where you need to appear on closing day, what identification to bring, and whether you will sign in person or can use remote online notarization. Washington allows remote online notarization (RON) for real estate documents, which lets you sign electronically from anywhere. Bring a government-issued photo ID to closing — the escrow officer is required to verify your identity.

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You will sign a stack of documents including the deed of trust (Washington's version of a mortgage), the promissory note, and various lender disclosures. The escrow officer is a neutral party who can explain what each document is, but they cannot give you legal advice. Take your time and read before you sign. If something looks different from what you expected based on your Closing Disclosure, stop and ask before continuing.

Cost: $0 (costs were already wired or brought as certified funds)

After you sign, your loan documents go back to the lender for a final review before they wire the funds to escrow. This can happen the same day you sign or the next business day, depending on when you signed and the lender's process. You do not officially own the home until the deed is recorded, which typically happens after the lender funds. Your escrow officer will keep you updated on the timeline.

Cost: $0

Your escrow company submits the deed and deed of trust to the county auditor's office for recording. Once recorded, the property is officially in your name. Recording typically happens the same day the lender funds, but it can be the next business day. Your escrow officer will notify you when recording is complete — this is the moment you become a homeowner and can receive your keys.

Cost: $100-250 (recording fees, included in closing costs)

Once recording is confirmed, you are entitled to take possession of the property on the terms agreed in your purchase and sale agreement — usually on closing day. Change the locks as soon as you move in because you do not know who has copies of the existing keys. Also update your address with the post office, your bank, employer, and the Washington Department of Licensing.

Cost: $50-200 to rekey locks (recommended)

Keep copies of your closing disclosure, the deed, title insurance policy, and home inspection report in a safe place — both a physical copy and a digital backup. You will need the closing disclosure when you file your taxes because some closing costs may be deductible. Washington has no state income tax, so you do not need to worry about a state capital gains calculation on your end right now, but federal rules apply to any gain you realize when you eventually sell.

Cost: $0