Congratulations, you’re about to close on a house! Closing is the final step in a real estate transaction and is the day you become the legal owner of your new home. This date is set during the negotiation of the contract and is not final until it is formally accepted by both parties. The closing process involves several steps to be completed. 

The first step in the closing process is reviewing your contract and preparing for closing contingencies. Closing contingencies are conditions that are listed in the contract that must be met before the home transaction becomes legal. The home inspection, appraisal, loan documents, homeowners insurance, and the final walkthrough are all contingencies that could be listed in the contract. At the final walkthrough, make sure that the seller’s belongings are completely cleared out and that the home is in the same condition as when the contract was finalized. 

The lender will send you the closing disclosure at least three business days before closing. This document lists all of the final terms of your loan such as closing costs and explains who pays and who receives money at closing. Closing costs are fees third parties charge when you finalize buying your home. These costs include items such as the home inspection bill, the premium for homeowners insurance, the appraisal fee, and credit report charges. On average you will pay 3% to 4% of the purchase price of the home in closing fees.

Bring a photo ID, outstanding documents or paperwork, and a certified check for your closing funds to the title company on your day of closing. You will sign documents as well such as a settlement statement, a mortgage note, and a mortgage or deed of trust. The title company will then register the new deed in your name!

The move-in date should already have been determined and detailed in the contract and, depending on what it stipulates, you may be able to move into your new home as soon as the closing appointment ends!