Congratulations, you’ve found the home of your dreams! You’ve signed the papers and arranged for a mortgage, now it’s time for the most important step of the process – the closing. Many fear this part of the real estate process because things can go wrong quickly and people can end up losing money or their dream home. We want to help ensure that your closing day goes smoothly, so here are some things you can expect on the big day:
You want to make sure you are fully prepared for your closing day. Some things you can do before the day arrives is go over your final closing statement, along with all the calculations and fees to ensure there are no errors. You want to be certain that all the conditions of the purchase contract have been met. Before signing your name to anything, ensure that interest rates, fees charged and condition of the property are all correct. It is recommended to take a copy of every document received throughout the home buying process with you to the closing.
If you’re wondering how long the closing will take, it can be anywhere from 1 hour to several hours. It all depends on both the buyer and the seller. If the two sides are in agreement, it will be a quick and easy process of signing all the necessary documents! We recommend you take the whole day off to ensure you are given enough time in case the parties are not in agreement.
Most home-sale contracts entitle you to a walk-through inspection of the property 24 hours before closing. This is to ensure that the seller has vacated the property and left it in the condition specified in the sales contract. If any property damage has been done between the time of the contract and closing, repairs will have to be negotiated with the seller.
So what exactly happens at a closing?
Besides signing a lot of documents, the following will also take place:
- The buyer will provide a check for the amount owed toward the purchase price of the house.
- The seller will sign the deed over to the buyer. This officially makes the buyer the new owner.
- The title company will register the new deed with the appropriate government office. This record will show the buyer as the new homeowner.
- Once all of the closing documents are reviewed and signed, the keys are passed from seller to buyer and they are officially a new home owner!
Since closing day is such an important day, we recommend you go over the details of closing with your agent and lawyer and whoever else is involved in your process. Remember, being prepared is the first step to a successful closing!