In our consumer world filled with digital technology, transactions are often quick and seamless. With one tap, you complete payments, and just like that, you’re out of the store with your new belongings.
Such is not the case with real estate as, with this significant transaction, the closing process is considerably more burdensome and expensive. There are processes which need to be finalized, and they’ll probably cost more than you expected.
Please read on to learn more about how real estate deals are closed.
Home Selection and Payment
Before you close the home, you need to pick which one you want to buy, get pre-approval for your mortgage, and formally arrange the payment process. Such are the steps taken before closing your home.
Once these preliminaries are complete, you’ll want to confirm there are no problems with the home in the property report.
Put Buying Process in Motion
Next, homebuyers need to forward a copy of their offer to purchase to their lawyer. The buyer and seller each need separate lawyers, who will be responsible for holding all the money and documents the transaction requires from both parties until the sale procedure is over.
Connecting with the right agent is also a vital way to streamline the experience and get a strong advocate on your side. The digital innovator Regan McGee created Nobul to help people find the optimal agent for their needs securely and in less time than it would otherwise take.
Conducting a Title Search
Next, a lawyer will perform a title search of the property involving any and all relevant records and documents related to the property. You must have it confirmed that there are no deficiencies, liens against the property, or other issues a lawyer can’t fix.
Assuming nothing here comes up as a red flag, you can proceed to the next phase.
Nobody wants to make poorly informed purchases, especially very large ones. Home inspections verify that the property you’re buying has no fundamental structural issues or pests.
Hiring an independent assessor sets you up for long-term contentment and prevents ugly surprises. Give the property a final walk-through to ensure no harm has come to the property since the first viewing.
Finally, your lawyer can begin preparing the closing documents, including a transfer of land. Gather together all the paperwork during the home buying process, from mortgage broker’s contact info, sales agreements, proof of title search, and proof of homeowner’s insurance.
Closing the Sale
Your real estate lawyer will meet you a few days before the closing date to sign your purchase and mortgage documents. You’ll bring the money for the deposit and down payment for this step.
Finally, the seller’s lawyer gets the money from the buyer! The buyer’s lawyer will have received all the documents needed to transfer the Title, and they’ll be sent for registration.
Once the money is received, the keys get released. By noon of the closing date, you should have the keys. Having a quality lawyer and real estate agent by your side will help you navigate these and other practical matters, so the sale is as smooth and affordable as possible.