Of all the milestones in the home-buying process, closing day is perhaps the most exciting. It’s the day when you finally get your keys and take ownership of your new home! There are a few key things to know walking into your closing, however. This post will guide you through some of those critical pieces so you can feel confident and stress-free on that exciting day!
Documents to Review
On closing day, you’ll be signing a lot of documents, and it’s essential to understand what each one means. One of the most crucial documents is the closing disclosure, which outlines the final terms of your loan, including the loan amount, interest rate, monthly payment, and closing costs. You should receive this PRIOR to your closing day. Take the time to review this document, ensure all the information is accurate, and ask any questions you have before closing day arrives. Make sure you have a good understanding of the costs so that you are prepared with any necessary funds to close.
What to Bring:
On closing day, you’ll need to bring a few essential items with you. You’ll need a form of identification such as a driver’s license, passport, or state ID card. You’ll also need to bring a cashier’s check or arrange for wire transfer of the funds for your down payment and closing costs. Be sure to have your closing disclosure with you and understand everything in it before signing. NOTE: If you are wiring funds to close, be sure to call your Loan Originator or Title Company directly to validate the wiring instructions! While rare, scenarios have occurred where a bad actor sent false wiring instructions to a borrower and their funds were sent and not able to be retrieved! Always double and triple check before wiring any funds for closing!
Finally, you’ll need proof of homeowners insurance. This is typically required by your lender to get the loan funded. Make sure you have all these items in order, so you’re ready for a successful closing day.
The Closing Process:
Once all the documents are signed, the closing agent and mortgage lender will review them to ensure everything is in order. When everything checks out, the funds will be disbursed accordingly. Next, the keys to your new home will be handed over, and then it’s time to move in!
Closing day can be an exciting and nerve-wracking experience, but with a little preparation, you can navigate it with ease. Another added bonus of working with Highlands Residential Mortgage, we offer a hybrid eClosing option, which allows the borrower to sign most of their closing documents electronically before you ever get to the closing table! If you’re a first-time homebuyer and have any questions about closing day, don’t hesitate to reach out to one of our award-winning loan originators today!
If you aren’t yet working with a Highlands Loan Originator, click HERE to find one in your area!