The closing process begins when you have a fully-executed purchase and sale agreement and you go into escrow. Closing is the formal process of transferring the property title from the seller to you, the buyer. The lender will provide a closing disclosure statement.
Closing costs are costs incurred prior to the close of your home (in addition to your down payment) and typically amount to about 3% of the purchase price of your home. They generally include the following items:
- Loan generation fee or points
- Appraisal fees
- Processing fees
- Credit report fees
- Escrow fees
- Title insurance fees
- Prorated property taxes
- Homeowner’s insurance
- Recording and transfer charges
The final walk-through occurs anywhere between a few days to a few hours before the close of your property. This is not a home inspection. This is your opportunity to make sure the home is in the condition it was when you made your offer, including any repairs which were agreed to.
The lender must provide a Closing Disclosure three days prior to the closing date.
Click here for a sample closing disclosure.
You’ll also have move-in expenses, which include:
- Moving company or moving truck (for DIY)
- New appliances
- Setting up utilities, cable, phone, trash pick up
- Yard maintenance equipment, if single family home
You’ve done it!
If you’ve made it this far, you’ve either learned a lot about the home buying process or you’ve just closed on your own home! Either way, congratulations!!
And don’t forget you can save money through Coastal Housing Partnership! Obtain a letter of authorization on our home page www.coastalhousing.org and ask your real estate agent and lender to find out how much you can save.