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How To Buy A Home In Greenwood, Step By Step

February 19, 2026
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Thinking about buying a home in Greenwood but not sure where to start? You are not alone. Recent market snapshots show a mix of quick sales and longer listings, with median prices ranging from about $300,000 to $345,000 depending on the source and date. That can feel confusing when you just want a clear plan. This guide walks you through each step, the local timelines, and what to watch in Johnson County so you can move with confidence. Let’s dive in.

Greenwood market at a glance

Recent vendor snapshots show different numbers because they use different methods and time frames. For example, the Realtor.com Greenwood overview has reported a median list price around $345,000 with days on market near 69, while Redfin’s Greenwood market page has shown a median sale price near $300,000 and days on market often in the high 40s to 60s. Expect variation by neighborhood, price band, and condition. The key for you: be ready to act fast on well-priced homes and use your contingencies wisely.

Step 1: Get financially ready (1–14 days)

Start with a full mortgage pre-approval, not just a pre-qualification. A pre-approval verifies your income, assets, and credit, which strengthens your offer and speeds up underwriting later. The CFPB’s closing resources explain the documents you will see during closing and why early accuracy matters.

Have funds ready for earnest money, down payment, inspections, and closing costs. A simple rule of thumb for closing costs is 2% to 5% of the purchase price, depending on loan type and title fees. Your lender will give you a Loan Estimate early in the process.

Step 2: House hunt with a local plan (2–12+ weeks)

Work with an agent who knows Greenwood and south Indianapolis ZIP codes 46143 and 46142. Micro-markets can move at different speeds, and pricing can shift street by street. When a home fits your criteria, schedule a showing quickly and be ready to write if it checks the boxes.

Make a short list of must-haves and nice-to-haves. Also decide in advance how comfortable you are with shorter inspection windows or other competitive tactics so you can move decisively when the right home appears.

Step 3: Write a strong Greenwood offer

Your offer will include price, timing, and contingencies. Common contingencies here include financing, appraisal, and inspection. Shorter inspection windows, such as 5 to 7 days, can help in faster segments of the market. Learn the tradeoffs in this overview of common contingencies and how they work.

Plan for earnest money. A typical starting range in Indiana is 1% to 2% of the purchase price, sometimes higher in competitive cases. It is held in escrow and usually credited to you at closing. See this overview of earnest money norms and refund rules.

You may also see escalation clauses, appraisal gap language, or seller-paid credits. These are common tools. Your agent will use local comps and current days-on-market data to tailor a strategy for your target price range.

Step 4: Inspections and local tests (7–14 day window)

Schedule your general home inspection right away. In central Indiana, buyers commonly add specialty checks like radon testing, termite or wood-destroying insect inspections, sewer scope, and well or septic testing when applicable. Many area inspectors offer bundled services; review a representative menu of inspection and testing options to plan your scope.

Radon matters statewide. Indiana has areas with elevated radon potential, and the EPA recommends testing every home because levels vary by property. If results are high, you can negotiate a credit or mitigation before closing.

Indiana also requires a seller’s Residential Real Estate Sales Disclosure form (State Form 46234) for most 1–4 unit residential sales. Sellers must disclose based on their actual knowledge, including items such as foundation, mechanical systems, water and sewer, and certain hazards. Review the statute for detail in Indiana Code 32-21-5-10. Use inspections to independently verify, since the disclosure is not a test.

Step 5: Appraisal and underwriting (about 1–3 weeks)

If you are financing, your lender will order an appraisal to confirm value. Timeline depends on appraiser availability, often 7 to 21 days. If the appraised value comes in below your contract price, you and the seller will renegotiate or you will need to cover the gap. Your financing and appraisal timelines should match your proposed closing date.

Step 6: Title work and HOA review (overlaps with Step 5)

The title company will complete a title search, issue a commitment, and coordinate closing. If the property is in an HOA, request the resale packet quickly so you have time to review fees, rules, and transfer charges.

Under federal TRID rules, lenders must deliver your Closing Disclosure at least three business days before closing. Learn what to expect from the CFPB’s guide to the Closing Disclosure.

Step 7: Final walkthrough and closing day

Most financed purchases in today’s market close in roughly 30 to 45 days from contract acceptance, depending on lender volume and appraisal timing. Cash purchases can close faster if title and HOA items are ready. Do a final walkthrough within 24 to 48 hours of closing to confirm agreed repairs and property condition.

Step 8: What to budget at closing

Beyond your down payment, plan for closing costs of about 2% to 5% of the purchase price. These include lender fees, title charges, recording fees, and tax or HOA prorations. Compare your initial Loan Estimate to the Closing Disclosure to confirm the final numbers.

Greenwood and Johnson County specifics

  • Property taxes and billing: Johnson County property tax bills are commonly due around May 10 and November 10. Review local billing and homestead information in the city’s property tax guide. Expect tax prorations at closing based on the contract date.
  • Inspector licensing: Indiana licenses home inspectors. Ask for proof of license and insurance so you know your inspector meets state standards. You can review program details on the state’s home inspector licensing page.
  • Environmental items: In addition to radon testing, pay attention to disclosure responses related to any past drug lab contamination. Indiana has cleanup protocols and seller disclosure obligations for known issues. Learn more from the state’s drug lab cleanup resources.

Offer strategy for today’s Greenwood market

Greenwood is not a single-speed market. Well-prepared, well-priced homes can still move quickly, while others take longer. That means you should be ready to act fast on strong listings and use inspection and appraisal contingencies strategically.

Consider these tactics:

  • Tighten your inspection window if the home is popular, but pre-book inspectors so you can still do full due diligence.
  • Pair a strong earnest deposit with clear refund terms tied to your contingencies.
  • Use seller credits for closing costs where inventory is sitting longer, or structure appraisal-gap language only when the data supports it.
  • Let market days-on-market and list-to-sale ratios guide your leverage. Ask your agent for the latest vendor snapshots so you can calibrate in real time.

Quick Greenwood buyer checklist

Before you offer:

When you write the offer:

  • Set earnest money (often 1% to 2%) and propose an inspection window.
  • Include financing and appraisal contingencies that fit your loan timeline.
  • Coordinate a realistic close date with your lender’s estimate.

During escrow:

  • Schedule inspectors immediately and review the seller’s Indiana sales disclosure as soon as it is provided.
  • Watch for the lender’s Closing Disclosure and confirm title and HOA docs.
  • Verify wire instructions directly with the title company to avoid fraud.

Buying in Greenwood can be smooth when you follow a clear plan and local best practices. If you want hands-on guidance from a broker who knows Greenwood street by street and can help you move decisively, connect with Kelly Mclaughlin to start your search.

FAQs

How long does it take to buy a home in Greenwood?

  • Most financed purchases close in about 30 to 45 days after offer acceptance, with timing driven by appraisal scheduling, loan underwriting, and title work.

How much earnest money is typical for Greenwood buyers?

  • A common range is 1% to 2% of the purchase price, with higher deposits sometimes used to strengthen offers in competitive situations.

What inspections are most common in Johnson County, IN?

  • Beyond a general home inspection, buyers often order radon testing, termite or wood-destroying insect inspections, sewer scope, and well or septic testing where applicable.

What seller disclosures does Indiana require for home sales?

  • Most 1–4 unit residential sales require the state Residential Real Estate Sales Disclosure form, completed from the seller’s actual knowledge and delivered before offer acceptance.

How are property taxes handled at closing in Greenwood?

  • Taxes are prorated between buyer and seller based on the closing date; Johnson County typically bills in two installments due around May 10 and November 10 each year.

What happens if the appraisal comes in low on my Greenwood purchase?

  • You can renegotiate price or terms, request seller credits, or cover the difference, depending on your appraisal contingency and the seller’s flexibility.

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