Purchase a home – the Closing.
We’re almost there.
I’ll bet you thought we would never get to this point.
It’s time to talk about scheduling the closing. We’re at the point where we have the mortgage commitment. The title work has been received. The closing date should be the date on the contract, but not necessarily so. The Realtors do not schedule the closing, so don’t ask them. It’s the attorneys who need to schedule a date and time. The bank needs to send out the proper paperwork. If either the buyer or seller has another sale or purchase, those attorneys need to schedule their closings also.
The lenders require that the file must be marked “cleared to close”. The lender will rarely schedule the closing until it has. To get cleared to close you must have satisfied all conditions on your mortgage commitment. You will need to purchase your homeowners insurance and provide a receipt for the first year premium. A few days before your mortgage company will also be checking your credit report. The will also verify your employment. Do not make any large purchases or appliances that will show on your credit report as new debt. Avoid changing jobs if at all possible until after the closing.
A few days before the closing, your attorney will receive the information from the bank and will tell you exactly how much money you’ll need to bring to the closing. This will be either a wire transfer or a bank check.
The Walk Through
Schedule a walk through of your new home with your Realtor. You should schedule for the day before or the day that you close. Only perform the walk through after the sellers have vacated the property. Why? Because you’ll want to see if check to see if everything is there that is supposed to be there. The sellers should not leave you with garbage that you need to get dispose of. Verify that all appliances are in working condition. If any repairs were to be made by the seller due to inspection issues, make sure that the repairs were completed. If something isn’t right, notify your lawyer.
Remember to transfer utilities into your name. Typically electric, gas if applicable, If there’s an oil tank, the oil company should measure how much is in the tank and you’ll pay the seller for it. Usually municipal water and sewer gets transferred by your lawyer. If there’s a private water company, you’ll need to do this yourself.
You’ll be signing many documents at the closing . If there is anything you don’t understand ask for an explanation. When all is complete, you’ll be given the keys at the closing and you now own a new home. Congratulations!
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