What to Expect When Closing on a House: The Final Week
What to Expect When Closing on a House: The Final Week
Reaching closing week is an exciting yet busy and nerve-wracking time for any home buyer, especially if it’s your first.
Because of this, it’s common for many people to worry about what to expect when closing on a house and whether they’ve done everything to ensure things run smoothly. After coming so far, no one wants to fall over at the final hurdle!
With that in mind, take a look at this easy-to-understand checklist to tick off, detailing exactly what to expect when closing on a house so you can breeze through the last week of closing.
Let’s get started.
Please be aware this advice is specific to Arizona
7 days before
Now it’s time to finalize your home insurance. Home insurance is an essential part of owning a home, and doing it as soon as possible during the closing week is a non-negotiable step.
Home insurance is extremely beneficial, as it protects your investment from damage caused by a multitude of events, such as fire, theft, natural disasters, and more. It also covers you in case of liability claims. Without it, you could be looking at all the money you’ve spent on a home go down the drain if the worst comes to the worst.
After you’ve sorted out your home insurance, give it to your loan officer as soon as possible to ensure an error-free process.
6 days before
To best prepare for your big move, make a list of everything that needs a home address change. This may seem like a small and insignificant detail, but it’s important when it comes to ensuring your documents are sent to the right address.
It can be easy to forget important things that need changing, so sit down and take some time to write out a comprehensive list of all the things you need to change.
Here’s a brief checklist for what you need, but everyone’s different, so this isn’t an exhaustive list:
Drivers licence
Credit cards
Magazine subscriptions
Gym membership
Letting your employer know
Car insurance
US Postal Service
Tax agencies
Social Security Administration
Gas and electric companies
Loan providers
Online shopping sites
Takeaway services
And, of course, notifying friends and family!
5 days before
Getting your new home utility services in order doesn’t sound like the most glamorous part of owning a home, but it’s a necessary step and one you can’t afford to overlook.
If you get it all done in time, then you should be able to begin your new utility services on the day of closing. This is perfect for ensuring you have gas and electricity to use, all while avoiding any disconnection fees that may occur.
Nowadays, getting this all organized is quite easy, as most companies have online scheduling services to make it a breeze to set up.
3 days before
The third day before closing, you should receive a closing disclosure from your loan officer. The closing document (C.D.) outlines the final terms of the loan, a breakdown of your monthly mortgage payment, and your interest rate. I recommend you review this document with your loan officer. They will be able to provide great insight, and you can ask them any questions.
Tip: Don’t be afraid to ask any questions you have; your real estate agent and your loan officer are your allies!
2 to 3 days before
You’re only a couple of days away from the big day. Exciting, right?
The next step is a final walkthrough of your soon-to-be house. Although you’ve probably walked through the property many times, the final walkthrough is to ensure the property is in the same condition as when you previously looked at it when you initially made your offer.
I highly recommend you perform a final walkthrough with your realtor, do not skip it.
1 to 2 days before
Now you will probably have your busiest day(s) when it comes to 1 to 2 days before closing on your home.
The two most important things you need to do on this day are signing and funding.
A signing appointment will be scheduled to sign the final paperwork for transferring property ownership. The appointment can take place at the title office or with a mobile notary. This can take around 30 minutes to 1 hour so it won't take up a big chunk of your day.
In this meeting, you will be reviewing and signing documents like the home deed, loan terms, and other legal documents. Make sure to read and understand each document you are signing, and if you don’t quite understand, ask questions. It’s better to know now rather than get some big shocks down the line.
After you receive an estimated settlement statement, you can transfer your closing funds into the escrow account.
Closing costs include your down payment, real estate fees, and any additional payments.
At the same time, your lender is transferring your new home loan into the escrow account.
You Can Now Close on Your Home
Once signing and funding are complete, you are ready for your final closing day. You are one final step away from becoming a new homeowner!
If you have any questions about the closing week or the real estate market, contact me today at (623) 329-6013 (call or text) or through my email: realtor@stephaniehernandez.com
