FINALLY! It’s closing day and you are almost done.
We’ve provided some tips to make this last step go as smoothly as possible.
Mark sure that you:
- Canceled or transferred your home owners insurance.
- Canceled or transferred your utilities.
- Bring your driver’s license or other government issued photo ID.
- Cashier’s check if you have to bring money to closing.
- Bring a voided check if you opt to have proceeds wired to your account.
- Bring keys, garage door remote controls, house codes and/or passwords to the closing table or leave them in a kitchen drawer.
- Any access information for smart technology in the home.
- Bring the original power of attorney, if applicable. If a power of attorney is being used, the title company needs to know ahead of time. They only need a digital copy to draft the documents. Original power of attorney will need to be presented at the closing.
Related Reading: We’re Under Contract: What Next?
Several different scenarios are possible for closing
You are present at closing
You might find that, regardless of what happened during the transaction, you have some very nice people sitting across from you.
- People attending can include: buyers, sellers, seller’s agent, buyer’s agent and lender. It’s common for the closing to happen with everyone in the same room at the same time. It can also happen on the same day but at different times depending on the availability of the parties.
- There is a chance that the buyers will get to the closing table earlier to sign all loan documents, so you don’t have to sit there and wait for them to finish.
- As you enter the office, the front desk will probably ask you right away for your driver’s license in order to make copies for the closer.
- You might have received some of the closing documents ahead of time to review them and prepare. Please ask the closer any questions you have.
- Funds will not be distributed until all parties have signed and the lender has given their funding approval.
You pre-signed the documents
You have decided that pre-signing the closing documents is the best way to do closing for you. This has the advantage that you do not have to interrupt your day by running to the closing table, we will be there for you to make sure that all is going smoothly and contact you should questions arise. Please be available via phone or text during this time. This option can reduce some stress.
Closing documents were mailed to you
You informed us weeks ago that you will not be in town to close on your home in person. Closing documents were sent to you.
- We recommend that you call the title company to go through the documents and clarify any questions. If you prefer, we can all get on a conference or video call to make sure that all your questions are answered.
- You must sign all paperwork in front of a notary. You can go to a bank, another title company or a mail store like a Mailbox, Etc. If a traveling notary has been ordered for you then the notary will come to a location of your choice to sign documents. Be advised that these notaries usually do not explain the paperwork. This is why it is important to call the local title company prior meeting with the notary.
- You will then overnight the documents back to your title company using the prepared FEDEX envelope.
Post Closing Occupancy Agreements are often referred to as a sellers lease back. Lease backs have become popular with sellers because buyers have become most accommodating to sellers in a strong and highly competitive sellers’ market. Your leaseback can be as short as an additional day up to 30 days.
- You will still refer to above mentioned options to close even if you have a leaseback. But you might have to bring a deposit check and a rent check to the table for the buyers. Whoever is designated in the agreement as the deposit and rent holders will retain these funds.
- Keep one key and one remote for the home, and everything else will be released to the buyers. They are your landlord for a short time.
Money! Money! Money!
Once funding has been released by the lender, everyone listed on the Settlement Statement will be paid. Wire cut off time in Colorado is 2pm MST. If you are able to fund in plenty of time before 2pm, all funds will go out on time and you will see your proceeds in your account that same day.
- The title company will e-record all changes with the county recorder.
- The title company will pay off any taxes, your loan(s) and liens, and other debts. A few weeks after closing, confirm with your assessor’s office or the title company that all liens are properly released.
- Depending on who your utility company is, you might get a credit post-closing.
- Your lender will send you a “Loan Paid” notice.
- Your lender will send you a check of all escrowed amounts that remained with your lender after the pay off.
- Leave your new address with us so that we can forward any mail that was erroneously sent to the old address.