Buying and Selling Homes

Closing!

Closing According to Wikipedia:

Closing (or settlement) is the final step in executing a real estate transaction.

The closing date is set during the negotiation phase, and is usually several weeks after the offer is formally accepted. On the closing date, the parties consummate the purchase contract, and ownership of the property is transferred to the buyer. In most jurisdictions ownership is officially transferred when a deed from the seller is delivered to the buyer.
Several things happen during closing:

• The buyer (or his/her bank) delivers a check for the balance owed on the purchase price.
• The seller signs the deed over to the buyer, and delivers the keys.
• A title company, lawyer or civil law notary registers the new deed with the local land registry office.
• The seller receives a check or bank transfer for the proceeds of the sale, less closing costs and mortgage payouts.

What To Bring Into A Closing:

• Expect it to take a few hours. Take a day off work and bring your patience.
• Bring every document received throughout the home buying process (including good faith estimate and proof of home owners insurance).
• Bring a copy of your contract, a copy of your inspection reports, and any documents that you had delivered to the bank so that they can approve you for the mortgage.

Who Will Be At The Closing?:

• Home seller.
• Seller's real estate agent.
• Title company representative.
• Attorney(s): The buyer and lender may have attorneys.
• Closing agent: This person conducts the meeting and makes sure all documents are signed and fees and escrow payments paid.
• Mortgagor (you).
• Mortgagee (lender).

What Is Happening At The Closing?:

During the closing meeting, the seller signs documents transferring property ownership while you receive and sign documents related to the mortgage agreement and ownership of the property. You also pay any closing costs and escrow payments. These include:

• The HUD-1 settlement statement detailing all of the costs related to the home sale.
• Final Truth in Lending Act statement outlining the cost of the loan and annual percentage rate.
• Mortgage note stating the buyer's promise to repay the loan.
• Mortgage or deed of trust securing the mortgage note.