Typical Loan Closing
Conventional / VA / FHA: 20-30 Days
THDA/ Rural Development: 30-45 Days
Concurrent Actions: This all done by your Lender
Appraisal: 4 - 14 Days
Termite inspection: 3 - 10 Days
Survey: 4 Days - ? (Acreage could take several weeks depending on how much land)
NOW THAT YOU HAVE A SIGNED CONTRACT AND THE LENDER, PROCESSOR & UNDERWRITERS ARE BUSY; WHAT DO YOU DO? I AM GLAD YOU ASKED...
- Hire your home inspector and have him inspect your new home; do this as soon as possible. This way if there are any major repairs you will have time to discuss your options with your Realtor.
- Call several insurance companies for home owners insurance. You must select which company you want and prices vary greatly; so check around. Do not let them pull your credit until you decide to go with that company. Do not give them any money; this will be paid at closing. Do this as soon as possible; you do not want to delay closing because you have not done your homework!
Call all the utility companies (Electric, gas, water, phone & propane (if you have a propane tank) find out what you need to do to have the utilities transferred to your name. Utilities should be turned on the day prior to closing; so you can have a through walk-thru prior to closing. Caution: make sure your agent knows when the water/electric/gas will be turned on; they need to make sure that the house has not been winterized and/or faucets are all turned off (be sure to check the washer hook-up) and hot water heater is full of water before electric is turned on (or make sure the circuit breaker is off) this will prevent burning up the hot water heater.
- Give notice to your landlord; insure you can extend your stay just in case the closing is delayed.
Increase your bills; buy anything on credit, 90 days same as cash or have anyone pull your credit report. This is very important... I have seen buyers get their loan denied because of not listening to this advice!
- Make a late payment on any accounts; to include your rent, car payments, loans, utilities etc.
- Withdraw money from your checking/savings besides paying your normal bills. If you plan to purchase anything paying cash... talk to your lender first. Your lender will need to verify a certain amount of money in your account and you can be denied if the balance is low!
Make a large deposit into your checking/saving accounts; talk with your Lender first. Underwriters will question large deposits; so always check with your Lender first.
- Quit or change jobs before your loan closes. This could cause you to be denied; even if it is a better position; just check with your Lender before you make any changes.
Closing day is set... Now what?
- Stay in touch with your Lender and Realtor.
- You will have your final walk-thru with your Realtor; normally the day prior to closing.
- Make sure your Lender has everything he needs from you.
- Find out what company is doing your closing their address & phone number.
Find out the amount you need to bring to closing: this will need to be a cashier's check made payable to the closing company. Caution: no cash or personal checks will be accepted; you may have the money wired to the closing company.
CONGRATULATIONS YOU ARE A HOMEOWNER!
Contact Brenda Tressler if you have any questions at firstname.lastname@example.org
Best of Luck!
FOR MORE INFORMATION FOR FIRST-TIME HOMEBUYERS... JUST CLICK ON LINK BELOW!