The most important part of the home buying process is closing. After all, it’s essential to ensure that all loose ends are tied, all vital paperwork is signed/filed, and the home is officially yours.
But there are a lot of questions about closing on a home that people tend to have. The most common questions are often regarding what to expect, how the process works, and what is expected of you as the buyer.
Here, we’ve listed a few of the most common real estate closing questions you may have, along with informative answers.
Let’s get started:
What is closing?
The closing process is a scheduled meeting between the buyer (you), your real estate agent, and the closing agent. During this meeting, you will be guided through all of the important paperwork, required signatures, agreements, and finalizing the purchase of your home. This is your opportunity to review the fine print, ask questions, and make changes if necessary.
What do closing costs pay for?
Your closing costs will include the costs of your loan as well as any other fees that must be settled at closing. Closing costs generally cover all of your loan’s processing costs as well as any third-party involvement fees.
How will I know when the documents are all ready to be signed?
When it’s time for closing, your real estate agent will schedule the meeting to sign with the closing agent and contact you with all of the details, as well as answer any questions you may have prior to the meeting.
Do I need to bring anything to my loan closing?
When its time to attend your closing, be sure to bring:
– Spouse and/or all parties on the loan
– Additional paperwork (if applicable)
– A cashiers check for the total amount of closing costs
What is a closing disclosure?
A closing disclosure (CD) is the final review and acknowledgment of all your loan agreements, interest rates, original loan estimate, etc.
Will my loan be sold to another company?
It is common for home loans and servicing to be sold to another company after the initial finalization. If this does happen, you will receive a notice and final confirmation of the transfer once completed.
What is an escrow account, and how does it work?
An escrow account is essentially a savings account held by your mortgage company. This account is intended to hold a portion of your mortgage payment (or your first payment) which is used to cover any real estate taxes and insurance premiums.
When do I receive the keys to my new home?
Once your home loan has been fully funded and dispersed, you should receive the keys from your real estate agent.
Close On Your New Home With Confidence
If you are looking for an experienced real estate agent to guide you through the home buying process, or if you have questions about the closing process and what to expect, contact Key Realtors today at 281-454-4500.
Our experts are happy to answer questions and address any concerns you may have.