What you should bring to closing when buying a home in Katy TX?
After the contract is completed, inspection(s) are successfully concluded, option period has lapsed, Title Commitment is issued by the Title Company and the Lender has orally stated the loan is essentially approved the buyer needs to get ready for actual closing. Many times I have had excited buyers who want to immediately know what you should bring to closing when buying a home in Katy TX? This is the eighth in my series of 10 articles concerning the Frequently Asked Questions by Clients.
Before we discuss what you need to bring to the closing table, all buyers and sellers need to think about utilities. Sellers have to obviously turn off service and buyers in Katy TX have to contract for new service. Some folks for whatever reasons want to almost ignore the utility issue or they just flat out forget. I send my clients a list of potential vendors for utility services. Of course many times there are no choices and there is only one provider. The seller of any property in Texas owns the property through the date of sale. This sometimes is not understood very well by buyers and sellers and for those matter sometimes even agents. The seller should turn off utility service effective with the end of the day when closing takes place and the buyer should turn service on the next day. Sometimes I have had buyers and sellers through their agents agree to slightly different terms just to avoid having conflicting orders made with the applicable utility. The point is the utilities have to be addressed before the actual closing date.
The actual moving needs planning in advance of the closing date. This is a huge topic in its own right and I will only state here that good planning is necessary without going into any detail.
Buyers you will need to bring with a valid source of identification. This could be your driver’s license, passport, State of Texas issued identification, etc. The valid identification source is needed for all parties who will be on the home’s Title. I have experienced situations where the spouse thought that only one ID was necessary and left their ID at home since their other party had theirs only to have to rush home to get their ID.
If one party or both or all parties who will sign the documents l cannot attend then you will need to have a valid Power of Attorney (POA) executed which gives the another party attending the ability to sign on your behalf. In Texas I have found you need to ask the Title Company if they have a specific form which they are comfortable using for the POA. I recently attended a closing where the sellers had their attorney through a POA sign all of their required documents as they were already on the road moving to their new destination.
I tell my clients to bring the last version of the HUD 1 Settlement with them so they can follow if changes have been made. I personally go over the HUD 1 very closely as I have found situations where the Title Company made an error. Everyone is human and errors can occur. All buyers and sellers for that matter should review the draft HUD 1 in detail before arriving at the closing table. Ask questions if things do not appear to be correct or if there is something you do not understand. Most closers in Katy TX take the time to explain the issues they have found over time causes the most confusion with both buyers and sellers.
Buyers you will need to bring a cashier’s check to the closing for the amount estimated to be due from you or arrange in advance to send a wire transfer. The applicable Title Company will need to agree in advance if you want to use a wire transfer. Call me if you are my client and I will ask the Title Company if a wire transfer is acceptable. Please note your financial institution will probably charge a separate fee which is higher than normal for all wire transfers and this feature usually has to be set up with the applicable financial institution in advance.
I also tell my buyers to make sure they have at least one or more personal check. Most Title Companies in Katy TX will take personal checks from the buyer in situations where there is a difference between the cashier’s check or wire transfer amount and the amount shown on the HUD 1 as being due from the buyer. This situation could also occur if the sellers will still owes a balance after collecting the net proceeds from the sale of the home. Many Title Companies will take a personal check up to as much as $1,000 but it is important to verify the amount with the Title Company. Again if I am your Realtor call me and I will obtain the information. If I am not your Realtor please do not call me to ask for help and do not try to make me sorry for you based on the reasons that your Realtor is stupid, incompetent, lazy, my drunken ex fraternity brother or all of the above. You selected this Realtor and you need accept responsibility for making a bad choice. I am truly sorry if this is the case but as the over used phrase says ‘It is what it is” and “You get what you pay for”. I have included this statement as this situation has occurred involving myself in the past.
Buyers and sellers need to bring a copy of the executed contract with them in case issues arise at the closing table. If I am your Realtor I will bring a copy for all of us to use if necessary.
Relax and try to enjoy the closing event. There is a mountain of paper to sign if you are the buyers.