Picking out the perfect home for you and your family is the fun part of buying a house. The rest of it (everything involved in a real estate closing) isn’t always as enjoyable.
Just because it’s not as fun doesn’t mean it has to be unpleasant. If you’re prepared, the hardest part is waiting for everything to go through. We’ve put together this guide to closing on a house to keep you informed and help the process go smoothly.
What to Expect
Knowing what to expect and how to close a house is going to make the process a lot easier for everyone involved. Learn all you can about things before you go into the situation. Here are the six things you should be prepared for during a house closing process.
Open an Escrow Account
A third party will manage the whole process between buyer and seller and hold onto any earnest money or deposits. It’s important to have this neutral party so that neither buyer nor seller gets taken advantage of.
After that is taken care of, you need to have a home inspection. Hire a trusted third party to do the inspection to ensure that there are no unwanted surprises and that the house is ready to move into.
If there are any issues you can renegotiate the contract and the selling price with the home owners.
You’ll need to fill out a mortgage application to get approval from the bank. This will involve plenty of paperwork. It’s best to have all your financial records in order and ready for this process.
Whoever is lending you the money to buy your new home will want to have their own appraisal done on the house. They want to make sure that the home is actually worth what you’re paying for it.
If they find that it isn’t worth the price you’ve agreed on, you will need to negotiate the price or find another lender.
Before you close the deal, you can do a walkthrough of the house. This should happen within 24 hours of signing. Use this opportunity to make sure everything looks good and that anything you agreed upon staying with the house is there.
Sign and Pay
Finally! This the last step in the process. You and the seller will meet up to sign all the final paperwork and officially transfer the ownership from seller to you.
It’s becoming more and more popular to use a wire transfer for closing costs these days. You can still use a good old fashioned check if you prefer, of course.
Real Estate Closing
Understanding the entire process in a real estate closing will help you know what to expect and be prepared when the time comes. Doing your research and enlisting the best professionals will make the whole thing go smoothly.
Looking for more helpful guides to navigate life seamlessly? Check out other informative articles here on our blog to make things easier.