Get Real with Doug Robinson: Closing a House? Be sure to do these things first

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Closing on a house? Be sure to do these things first

Closing a home is an exciting time. It’s the end of a long journey and the beginning of a new adventure.

It’s not fun to think about, but a trade can run into problems right up until the moment the closing is complete. There are important steps you can take before closing to prevent unusual, but serious, complications from developing at the last minute. Your real estate agent will certainly help you stay on track, but you’ll be even better prepared with a little research — exactly what you’re doing right now.

Here are the key steps to follow before closing:

  • Make sure the house has been inspected
    Contingencies are things buyers need to do before the transaction is final. The most common of them is the possibility of a home inspection, which is required by many mortgage lenders. Inspections cost between $300 and $500, but can save you thousands of dollars in repairs. Problems with the electrical system, septic tank and roof are known to sabotage a deal days before closing.
  • Finalize other contingencies
    Evaluation is another common eventuality – it requires a home to be appraised for a certain amount before the deal is done. The amount is usually dictated by the lender, who needs it to be high enough to match the financing. If the assessment fails, funding may need to be renegotiated.
  • Delete title
    “Clear title” means that it has been verified that the seller has the legal right to transfer ownership of the property and that you have the legal right to receive it. Title issues can arise if there is a lien on the property – usually the issues are with the seller and could not have been known to the buyer in advance. Begin this process as soon as possible so that the seller can take action if any issues are discovered.
  • Get Final Mortgage Approval
    Final approval occurs when the mortgage is closed subscription. Underwriting is the final check on your credit score, finances, and property valuation. Final approval can be quick and easy if you’ve already been pre-approved for a mortgage at least a few weeks earlier.
  • Review your final disclosure
    the closing disclosure is a massive document that communicates all the fine details of the sale that the buyer needs to be made aware of in writing. It includes details of contingencies and provisions. It can be an extraordinarily dense document, so it’s wise to work with a real estate attorney to get it all figured out. Remember that you have the legal right to an adequate review period for your final disclosure!
  • Make a final visit to the property
    The final visit is often just a formality, but it’s not one you want to skip. If you have an agreement with the seller to carry out repairs (based on the home inspection), this is an opportunity to verify that the work has been carried out. If you see anything out of the ordinary, you can always raise an objection.
  • Bring all your documents to the closing
    Your Title company will provide you with a detailed list of documents to bring to the closing, which can be communicated directly or through your realtor. Some of the most critical include your landlord’s insurance policy, a copy of your contract with the seller, home inspection reports, any documents required by the bank, and a valid government-issued photo ID. the government.

A successful closing is a relief for everyone – the buyer, the seller, and everyone who has helped them along the way. Follow these tips and you’ll do your part to make sure everything goes smoothly.

Thinking of buying or selling a house? I can help make the process easier, contact me today!

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-Doug Robinson/Baxley-Penfield-Moudy Real Estate Agents

“Your best friend in real estate”
www.SalineCounty.RealEstate

[email protected]

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