Congratulations! You have found the perfect house, and you are now ready to make it your home. You have the finances secured, viewed several houses, decided on the one, but you are not done yet! What’s next? It’s now time to seal the deal. What happens during the closing process? Here are the six steps to take before it’s official.
Sign the contract.
After you and the seller agree to the terms of the home, it’s now time to sign the contract.
Deposit earnest money.
If you have agreed to earnest money, you will need to deposit it into an escrow account.
The executed contract is sent to the title company.
The title company then confirms the seller has the right to sell the home to you.
All inspections are made by an inspector.
As the buyer, you will review the report and ask the sellers to address any concerns about the property. All the agreed upon repairs should be completed by the seller before closing. The seller will need to provide receipts. Other arrangements may be made.
All necessary documentation will be collected by the title company and your real estate agent.
Your agent will be there to help you so no worries!
The agent works from a document known as a HUD-1 settlement statement.
This shows the charges that are associated with the purchase of the home including a summary of the transaction and closing costs. It also shows a comparison of the Good Faith Estimate with the actual charges and a breakdown of the terms of the loan.
It’s official! Keys are in hand, and you are now a homeowner! Closing a real estate deal is a big decision and may seem like an extensive and detailed process. Don’t worry though! I am here to help you along the way and will make sure the right things are submitted at the right time.