Buyer Closing Process:

Important Tips:

Get your cashiers check at least 3 days before closing. If the amount changes for any reason at closing either a refund check will be issued back to you or a personal check will be accepted.

Get your cashiers check several days before the closing if:

• You are transferring funds into your account or depositing a check. The bank will require a few days for the transaction to clear before issuing the cashiers check.
• The day of closing is around a bank holiday.

 

What to bring:

Drivers license, insurance binder, list of addresses for the last 10 years, a cashier’s check made out to yourself for the amount your lender has given you and any items required by your lender.

The lender will send the package of mortgage documents, including all papers the buyer signs as well as any conditions to close (proof of insurance, gift letter, ect). Documents will vary from lender to lender. The title company has some documents you will sign as well. The total number of documents you will sign will be approximately 60-90.

 

 

 

• A HUD settlement sheet accounting for all closing costs, pre-paid items and funds for stating their escrow fund (if applicable)
• A standard residential mortgage will give the term of your loan as well as remedies the lender has in the event you do not pay your mortgage, taxes or keep the property insured. It is a standardized form that no changes may be made to; you will initial each page. In some cases you will sign three identical copies.
• An adjustable Rate Mortgage will have a rider with the details of how and when the adjustment will be determined.
• The note will show the A.P.R (annual percentage rate), which shows the cost of the loan in the first year, its interest rate as well as the closing costs as a percentage rate. You will also be shown the total you will be paying on the loan should you pay it off at its full term schedule.
• Verify social security number
• A purchaser’s affidavit will be signed stating that you are not involved in any divorce or bankruptcy proceedings. You will also provide your addresses for the last 10 years, your new address, and phone number and your place of employment.
• You will sign a copy of your loan application and sing stating there have been no changes in employment since it was filled out.
• Unless the seller has purchased an owners policy as the proof of clear title you rill be asked if you would like to buy owners title insurance. It insures your interest in the property should there ever be a claim against your title (as for more details).
• If your property is abstract you can choose if you want it stored for you (fee) or self store it.
• You will endorse the cashiers check to the title company and they will refund you any overages, you may make up any shortfalls with a personal check up to 1,500 dollars usually.
• You will be informed about homesteading the property, given instructions on how and where to do that.

 

Congratulations you are now the official owner of your new home!