Tips for Closing on a Home
Crossland Title, Inc
Crossland Title Inc. is a Knoxville title agency providing full-service real estate title solutions. Crossland Title Inc. makes your closing seem effortless.
With more than 36 years of experience in the real estate and title business, owners Pam Rice and Beth Crox have built their reputations upon the virtues of personal service and integrity. They believe that reputation as an honest and reliable business is the recipe for success.
All About House Closing
When you finally arrive at closing day in the home-buying process, it can sometimes be a whirlwind of unknowns and confusion. You will have questions like – How much are closing costs on a house? Who pays closing costs? What financial information – if any – do you need to take with you?
Then there’s all the of paperwork you’ll have to sign when you close on your new home. So how can you be ready for all the documents you’ll need to review – and understand? Prepare for the ride ahead so you can close on your loan with confidence.
What do I need to bring?
The day of the closing, make sure you have:
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The closing disclosure (to compare to the documents)
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Any questions you’ve written down
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Your cashier’s check or proof of wire transfer to pay for closing costs
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Your driver’s license or another acceptable form of photo identification
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Proof of homeowners insurance
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Any other documents your bank or lender requires
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Your co-borrower or the person co-signing your loan, if applicable
What exactly am I signing?
Every legal and financial document tied to a closing is important, but there are a few that are critical to the process.
At the closing, you’ll be signing a lot of important documents, which will vary based on your state laws and the type of home you’re buying. But you can expect to see the following checklist of documents:
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A promissory note, which outlines the terms of your loan and states that you promise to pay back what you’re borrowing.
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A “truth in lending” statement, which details the total amount of your loan over its lifetime. Also, the interest rate and annual percentage rate.
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Your mortgage.
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A monthly payment letter. This breaks down your monthly mortgage payment by principal, taxes, interest, insurance, etc.
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The closing disclosure, which should match the one you received before closing.
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Title or warranty deed, which transfer ownership of the home.
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Proration papers. This dictate how costs such as homeowner’s association dues, property taxes and utilities are being divided up for that month.
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Statement of identity for the title company to differentiate you from anyone else with the same or similar name.
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Declaration of report, which states that you’ve seen all inspection reports done on the property.
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Abstract of title, which includes all documents related to the title of the property – for older homes, the abstract can be VERY thick.
