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Closing day is when property ownership officially transfers from a seller to a buyer, and it can be a stressful event if not enough attention is paid to all of the details. While not all closing activities are in your control, this article describes some of them that should be completed in advance to help make your closing as smooth as possible.
BEFORE CLOSING
After the offer is accepted but before the closing takes place, I will track the satisfactory completion of all contingencies and conditions required under the purchase agreement and inform you of the transaction’s progress.
During this time, you should make sure your mortgage broker or lender has all the information required to finalize the underwriting of your purchase, including an insurance rider or any additional documentation such as proof of employment, tax returns, or other necessary information.
While you should have received a Loan Estimate when making a loan application, you will also receive a Closing Disclosure at least 3 business days in advance that outlines all the fees and charges associated with the transaction, including the purchase price, lender fees, and other closing costs. Please review it carefully to make sure that everything is accurate so there are no surprises. Let me know immediately if there are any concerns or discrepancies.
At least 2 business days prior to closing, you should also ensure that additional monies required have been wired in advance, or you should bring a cashier’s check in the exact amount shown in the “Cash to Close” section of the Closing Disclosure document. While most domestic wire transfers are completed within 24 hours, make sure to account for business days, holidays, and specific hours when sending a wire transfer, as the cutoff times for accepting a same-day wire transfer may create an unnecessary delay.
IMPORTANT NOTICE: Cybercriminals are always trying to hack email accounts and send convincing, sophisticated emails with fake wiring instructions. Never trust wiring instructions sent via email. Always confirm wiring instructions independently in person or via a live phone conversation to a trusted and verified phone number before the wire transfer is initiated. Never wire money without double-checking in person that the wiring instructions are correct. If you are asked to wire money before closing, be sure to call me first to verify that the recipient information is accurate.
Finally, I will accompany you as we perform a final walk-through inspection of the property one to three days prior to the closing day. This gives you the opportunity to ensure that the property is in the same condition as when the offer was accepted and after the results of any inspections or appraisals were addressed to your satisfaction.
DURING CLOSING
Confirm the time and location of the closing; then arrive about 15 minutes prior to the closing time. Make sure each signer brings a government-issued photo ID such as a driver’s license or passport.
At closing, you will be signing many documents, including the deed, any mortgage documents, and the settlement statement. You should plan to spend about an hour signing all documents and, of course, be sure to read each document carefully before signing. However, don’t be afraid to take longer and ask questions if you need clarification.
Review the title report showing the ownership history and any liens or other issues that may affect the property’s title. Please review it carefully to make sure there are no surprises. If you have any questions about the closing process or the settlement statement, don’t hesitate to ask the settlement agent or me for clarification.
AFTER CLOSING
Once all the documents have been signed and the funds have been transferred, you’ll officially take possession of the property. Make sure that you have been given the keys and other necessary documents, items, or information, such as the garage door opener or alarm code.
Remember to review the Ultimate Moving Guide, Checklist, and Supplies for important reminders before you move in!
I am always available to answer questions until the closing is completed and will ensure the settlement agent is doing everything correctly as I advocate for your best interests. Following these steps and preparing for the closing day can help ensure a smooth and stress-free ownership transition.