Once you agree to purchase real estate and the closing day is set, you will anxiously await the big day. While doing so, it is a good idea to learn more about the closing process, including what is expected of you along the way.
The day before the closing, make sure you have all the documents you need in order to ensure a smooth and efficient process. This includes everything from the contract to the good faith estimate.
Your real estate agent or attorney can help you better understand what you need to take with you to closing. Your role on closing day is two-fold:
-- Sign all necessary legal documents. There will be plenty of signatures, so make sure you are ready for this. Of course, you want to read every document before you sign on the dotted line.
-- Pay all escrow items and closing costs. As a borrower, you are responsible for various fees associated with transferring the property and obtaining a mortgage. You should know what these fees will be upfront, thanks to the good faith estimate. If for any reason the numbers don't add up, let the closing company know.
Closing day is full of fun, excitement and a little bit of stress. Being prepared for the process will allow you to better deal with anything that comes your way.
Knowledge is power when buying any type of real estate. The more you know, the less likely it is that you will miss a detail at closing that could cost you time and/or money in the future.
Source: Bankrate, "Buying a home? What to expect when you're closing," accessed Aug. 18, 2015