Closing on a house can be joyful or horrific. You’ve finally found the house or your dreams. You signed a contract and got approved for a mortgage. You’ve hired the movers. Now comes the most important part: the closing.
1. Ask questions
Knowing what to expect and communicating with all parties involved in the deal are key to a successful closing. A week before closing, talk to the people who are representing you, and tell them you’d like to spend a couple of minutes to discuss what to expect. Don’t be afraid to bother your loan officer or your real estate agent.
2. Anticipate human error
You don’t want a failed closing because of missing loan documents.
3. Review loan documents in advance
One way to ensure all is going as planned is to tell the lender that you want to review the documents before closing. By law, you have the right to review the closing-settlement statement, or the HUD-1 form, at least 24 hours before closing. Compare that form to the good-faith estimate you received when you applied for the loan.
You should have everything you are going to sign before you sign it. A lot of people don’t do that. When they get to closing, they are nervous, and they just want to sign and get the keys. That’s how people get in trouble.
4. Take a check
Another reason to review the loan documents in advance is so you know how much money you must bring to closing. And yes, you will need a check at closing, most likely a certified one. Many buyers are so anxious and excited that they forget they need to stop at the bank to get the check. Using a wire transfer is an option, but it may delay the closing. Some people think a wire transfer is faster, but the closing won’t happen until they have actual confirmation that the wire hit.
5. Take part of the day off
A smooth closing may take less than 30 minutes, but you won’t know for sure if your closing will go as planned until it’s done.
6. Expect the unexpected – including typos
You’re at the closing table. You’re told everything is good to go. All you need to do is sign. You must double-check the numbers on the mortgage note you are signing, even if you have received the HUD-1 form before closing. To prepare for the unexpected delays, borrowers should try to schedule their closings for earlier in the day. And don’t wait until the last day on the contract to close.
Read the complete MSN Real Estate article by Polyana da Costa right here – 6 tips for a painless closing
MULJAT GROUP NORTH | 505 Front Street | Lynden WA | 360.354.4242 | muljatgroupnorth.com