Essential Preparations for Your Closing Day

Embarking on the journey to homeownership is indeed a remarkable achievement. Having reached this far in the process, you're now one step away from the closing table. However, there are some critical last-minute details to attend to.

Understanding the Closing Day

With your approval for an excellent home loan and the ideal house identified, you're set to become an official homeowner - a moment of immense joy! The buyer and seller usually decide on the closing date during the contract negotiation phase. Following the seller's acceptance of the offer and earnest money, the next stage is the anticipation of the closing date. While waiting, there are various tasks to attend to, ensuring a seamless process.

Preparations Before Closing

While applying for your home loan, you likely maintained vigilant financial scrutiny, avoiding major purchases or new credit lines that might compromise your approval chances. Importantly, your financial prudence remains crucial even after loan approval as significant alterations to your finances could cause substantial delays in the closing process. To ensure smooth sailing, it's advisable to avoid:

• Job changes or resignations
• Large-scale money transfers or deposits
• Elevating existing credit balances or opening new credit accounts
• Late payments
• Disputes or closures of any items on your credit report

Next, let's shift focus to what needs to be done!

Planning Your Relocation

Regardless of whether you're moving a few blocks away or across states, it's vital to have a detailed plan ensuring everything falls into place as needed. Consider the following aspects related to your move:

• Are you retaining all your current possessions?
• Can friends, family, or colleagues assist with moving bulky items?
• Does your new home have stairs?
• Will your company finance a professional relocation service?
• Is there a gap between your move-out and move-in dates?
• What distance do your belongings need to be transported over?
• Can you locate a moving company that can also ship your car?
• Are you planning to drive or fly to your new home?

These considerations will help ascertain the kind of moving services you require, guide your moving timeline, and other related factors such as utilities management, mail forwarding, and school enrollments for your children.

Compiling Necessary Documents

Before meeting at the closing table, your real estate agent and lender from CrossCountry Mortgage will inform you about the necessary documents. Yet, as a reminder, ensure you have the following items:

• Proof of homeowner's insurance: Some loans demand proof of insurance at closing. Ensure to confirm this requirement with your lender and obtain coverage promptly.
• Certified or cashier's check: Your lender is obliged to provide a Loan Estimate within three business days after receiving your mortgage application, outlining the closing costs. However, the actual amount needed at closing will be indicated in the Closing Disclosure, sent at least three days before closing. You can choose between a cashier's check or wire transfer to pay the disclosed amount, as personal checks are not accepted.
• Any pending documents: The title company or lender might need you to provide extra documents at closing. If so, they will inform you in advance.
• A photo ID: Amid the flurry of moving activities, it's easy to misplace vital items. Ensure your necessary closing items are safely kept, separate from the chaos of moving.

Completing a Final Walk-Through

Typically, a day before closing, you'll have an opportunity to inspect your new home alongside your real estate agent. This walkthrough allows you to verify that all mortgage contingencies have been met and test all appliances for any issues. Upon completing the walk-through, you're all set for the closing table! In general, the procedure follows these steps:

• You (the buyer) cover any remaining closing costs.
• The seller signs the requisite documents to transfer property ownership.
• You (the buyer) sign the mortgage or deed of trust, alongside other documents based on the lender, loan, state, etc.
• The title company registers the new deed under your name!

With CrossCountry Mortgage, we're dedicated to guiding you smoothly to the closing table. Consult a Mortgage Advisor today to secure a historically low rate for the next 90 days!

This article is for educational purposes only and does not constitute financial or mortgage advice. Loan programs, rates, and guidelines may change at any time. All loans are subject to credit approval and underwriting. For guidance tailored to your situation, consult a licensed mortgage professional.