Jul 29

What To Expect At Your First House Closing

Few things in life compare with your first house closing. The nervous, excitement of sitting there in the title company’s meeting room as your attorney and real estate agent wrangle through the details of the transactions. Their every movement a chance for heart palpitations. Fear not! The process is not that complicated.

How To Beat The House Closing Jitters

Prior to Closing: Most closings today are smooth, because of all safeguards put in place over the past few years protecting home buyers from making rash decisions. Per the new HUD regulations, if the fees change more than 10% the buyer must have 24 hour notice with the new Good Faith Estimate before closing.

However, part of buying a home means you have your information correct. To do this connect with your mortgage broker to make sure you have all the right documentation to bring to closing. Here is a list of common documents you will most likely need:

  • Photo id
  • Property insurance
  • Certified or cashiers check (Federal law requires you be told the exact amount 24 hours prior to closing)
  • Purchase and sales contract to make sure that everything match up.
  • Original Good Faith Estimate from the bank

The final thing you need to do before closing is to do a final walk through of the house. Make sure everything is in place, and your new home is in good shape after the previous owners moved out.

Your Attorney Must Be Present: Let’s begin with a very important point. Your attorney will be with you at the closing. While mortgage brokers and real estate agents are known to sometimes skip the closing in lieu of getting more sales, an attorney makes his money making sure the closing goes as smoothly as possible for you.

This is important, because you are not alone at closing. Someone is on your sidhouse closinge who understands the laws and all the nuances of closing a real estate deal.

Impartial Closing Agent: Next, if having an attorney on your side is not enough, realize that the majority of the papers that pass through your hands on the day of the closing relate to two items: 1. the mortgage, and 2. the title of the property. That is because the title company’s sole responsibility is to make sure your property is yours. They check the county and local records to make sure the seller has the right to sell the property. Then they act as a middleman, making sure that the sale to you is legit.

This means you do not have to wake up in the middle of the night, and be afraid of a random stranger kicking you out of your new home. You have a legal right to your property, secured by the title company.

Take Your Time: Finally, make sure you budget the entire day for the closing. While most are done in less than two hours, you do not want to be rushed. I was once in a closing where the fire alarm for the entire building went off halfway through the closing, which delayed the signing the final documents by 45 minutes. Freak accident, but you get the point. Make sure you budget your time, so you can thoroughly review all the documents put in front of you.

Enjoy The House Closing Process, Because This Is YOUR New Home

Make sure you are methodical about the closing. Since you will be surrounded by professionals trust the advice of your attorney and closing agent. At the same time read everything, so you understand all the documents. Do not be afraid to ask questions. After all, this is your home. You need to make sure everything is right. Let us know how your house closing went?

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