Closing Day
If you have come this far, then this means that it is almost time for congratulations! Do not forget to tie up these loose ends below.
Final Walk-Through Inspection
More of a formality than anything else, the final inspection takes place a day before or the day of the closing. You will visit the home to verify that all is in working order, all agreed upon repairs have been completed, there are no extra items left behind, and that everything included in your purchase is still at the home.
Home Services and Utilities
We will provide a list of useful numbers for the activation of home services and utilities well before the closing occurs.
Be Prepared
We are ready to assist you should an unforeseen glitch arise, even at this last stage. If an appliance or system within the home breaks down or some other minor detail arises– no need to worry. We have encountered these problems before and know how to handle them efficiently and in a stress-free manor.
Closing
A few days prior to closing, the closing agent (usually a title company) will furnish all parties involved with a settlement statement (HUD), which summarizes and details the financial transactions enacted in the contract to purchase. You and the seller(s) will sign this statement, as well as the closing agent, and certify its accuracy. If you are obtaining financing, you will sign all pertinent documentation required by the lending institution. All positions that will have to be paid and will be credited to either the buyer or seller will be shown. The HUD will reflect your earnest money deposit, commissions, prorated taxes and assessments, as well as invoices from third parties such as the home inspector, pest control services, and other vendors. For the tax proration, keep in mind that taxes will be paid in arrears, whereas stormwater fees, fire assessments, and/or solid waste fees, if applicable, must be paid in advance. Home insurance is also paid upfront.
The stated amounts at the bottom of the HUD show the net proceeds to the seller and the total amount payable by the buyer; this remaining amount must be transferred to the buyer’s escrow account on or before the day of closing. Also, all documents must be executed and delivered by both the buyer and seller the day of closing. If you are abroad, the documents must be signed at your current location at either a notary public, attorney’s office, or the American embassy/consulate and sent back as originals by courier to the title company.
If you are unable to attend the scheduled closing, arrangements can be made depending on the circumstances, the notice we receive, and other institutional requirements. Virtual closings are becoming more popular, especially for buyers who are relocating from another state.
If you are bringing funds to the transaction, you can elect to either have the funds wired electronically into the closing agent’s escrow account or bring a certified bank check to the closing in the amount specified on the settlement statement. The seller should arrange to have all property keys, garage door openers, and any other important information for you at the closing so that you may receive these items at this time.
Have questions? Schedule a call today!