What are the steps to a successful closing?
Of course using Mike and Anna as your realtors is the key element but first, you will need to choose who your closing agent will be for your side of the transaction. If you’re paying title insurance, you can use an attorney or a title agency. If the seller is paying title insurance, you will either have to use the same closer as the seller or an attorney. We can assist you with making a decision but that decision will need to be made at the time the first deposit is due (usually at contract execution or a few days later).
Second, please send a copy of the executed contract to your lender. If you’re paying cash, you don’t need to do that but do keep a copy for your files and tax verification purposes.
If you’re paying cash, skip this paragraph. If you’re getting a mortgage, read on. There are new rules and regulations for all financed transactions which may delay your closing. If you are working with a lender, let the lender know that he/she will need to contact us for anything regarding the home and that we will be in contact with him/her to check on the status of the transaction periodically. Your lender can copy you on all written correspondence to us but we should be informed at every step as we can offer assistance and have helped many buyers in the past close on time. Don’t hesitate to ask us questions as you go along, that’s what we are here for, to help you.
Third, you’ll want to order your home inspection. There are several that are available to you including a home inspection (roof to foundation), wind mitigation (your insurance company will want that), mold and radon inspections, Chinese (defective) drywall inspections and termites/WDO (wood destroying organisms) inspections. We can recommend inspection companies to you or you can choose to use whichever company you’d like and not one we’ve used in the past.
Fifth, you’ll want to apply for association approval if you are moving into an HOA or condo association. There are strict deadlines on these applications and sometimes you’ll need to make that application as soon as the contract is executed. You cannot close without having approval from the association.
Sixth, appraisals. If you’re financing, your lender will order an appraisal. If you’re paying cash, you don’t have to get an appraisal but if you’d like one we can assist you with getting that set up.
Seventh, surveys and elevation certificates (if the seller doesn’t have one to pass along). If you’re financing, your lender will order those for you. If you’re paying cash, you can choose not to have those done or we can refer a surveyor to you if you’d like. We recommend getting a survey just so you know the boundaries of your property and an elevation certificate so that you know your flood zone and can advise your insurance agent. Check with your insurance agent first to make sure you will need an elevation certificate before ordering one.
Eighth, insurance. If you’re paying cash, you don’t have to have insurance in place as you are then considered to be self-insured. If you decide to get insurance and want a quote, we can get several for you to review. With a mortgage, your lender will require insurance and we can assist you with local insurance agents who are able to help you with that process.
Ninth, pre-closing. Please contact us a week prior to closing to coordinate your final walk through of the property. It will be either one or two days prior to closing or the day of closing but we highly recommend having a walk through. You’ll need to turn on the utilities in your name (FPL, cable, utilities, and telephone) and the closer will have the water turned on in your name after the Closing Disclosure (settlement statement) is faxed to the water department after closing.
Tenth, closing day! Please bring your government identification with you for closing. Most closing agents do not accept certified checks so you will need to wire the balance of your funds to the closer prior to your closing date. If you’re paying cash, your closing will be about 10 minutes and you’ll be on your way. If you’re getting a mortgage, plan on about an hour to execute all the documents required for your loan. After you and the seller finish signing and the transaction is funded, you’ll receive the keys to your new home.
This is a general overview of the process to assist you. If you have any questions, please reach out to us via phone, email and/or text; we are here to help.
