What to expect at closing

The following will take place at
closing:

• You will arrive at the settlement company (sometimes called the title company). Usually the sellers will also be
present, although occasionally the sellers complete their part of the settlement process before-hand.

• You will need to ensure the loan company you’ve selected has successfully processed your loan papers and approved you for the loan. If the settlement company doesn’t have all the necessary paperwork from your bank, they may delay closing. A delay in closing will often mean the seller may charge you a per-diem fee until you close successfully, and this can get quite expensive!

• You will need to get a GFE — Good Faith Estimate— before closing from the settlement company, usually a day or two before. This GFE will tell you how much money you need to bring to closing. Be sure to bring the money in certified funds; they rarely take personal checks.

• Be sure to bring a valid photo ID to closing; the Patriot Act requires this.

• Owner’s title insurance is optional, but we recommend you procure it. Like any insurance, if you can afford the loss, you probably don’t need it. If, however, you can’t afford the loss of your home, you will probably want it. Ask us for details.

•Buyer must bring certified funds - paragraph 6 of sales contract stipulates this. Remember, certified funds generally are not available from banks after 2pm, so plan ahead.

• You will receive keys to your new house at closing. Once the closing process is completed, the house is yours!

Professional Tip: We suggest you have the cell phone number of your loan officer at closing and that you’ve communicated with him or her before-hand to ensure their availability when you’re at closing.
There’s nothing more frustrating than being so close to closing on your new house, but a problem with your paperwork keeps you from closing, and your loan officer is nowhere to be found!

Also, if you close at the end of the month, or the first week of the month, you’ll often pay less at the closing table than you would otherwise. Why? You are usually required to pre-pay the interest on your loan for the month in which you’re closing. When you close at the end of the month, you have to pre-pay very little interest. This can add up to thousands of dollars.
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These ‘Professional Tips’ show you how important it is to have a Realtor representing your interests!