What should first-time buyers know about closing?
The home buying process can be an arduous one even for those who have been through it before, and thus the problems that people can run into when they go through it for the first time can be significant. For this reason, it's important that people who are making their first-ever steps toward purchasing a property should know exactly what's expected of them, and that includes knowing what they're going to have to do when it comes time to close the deal.
The closing process is a relatively straightforward one that can still very easily lead to the occasional mistake that delays the purchase, and that's often true for first-time buyers especially, according to a report from Salary.com. Buyers should know that the closing process is really intended to help consumers go over all the documents necessary to completing a sale, and make sure everything is as it should be, but that also carries responsibilities on their end that much be held up if the transaction is going to be finished.
What do they need to do?
Buyers will have to do a lot of prep work before closing, such as making sure they have a cashier's check for the down payment amount, commitment letter from their mortgage lender, and money to cover closing costs, among other things, the report said. All these things can vary widely when it comes to any individual transaction, but typically there will be an effort on the part of all other parties involved to help the prospective buyers understand what costs they're going to face and what documents they'll need to have at the ready before they can complete the purchase. Once a closing is completed, however, the buyers will instantly become the owners, but will likely have to wait a little while longer for all the paperwork to be finalized before they can move in.
Consumers who are wary about taking any particular action during the home buying process might want to simply ask the professional with whom they've had the most contact what's going to be expected of them at a given deadline, because that action alone can go a long way toward making sure the transaction goes as smoothly as possible. Something as simple as having a decent amount of knowledge before they have to compile paperwork and get all their ducks in a row financially can help to ensure that they don't run into any hiccups on their end.
By: Equity National November 18, 2014 Closing