Updated: Jul 23, 2021
You've spent weeks if not months waiting for the property you purchase to close, however; the negligence of keeping the whole process on the track caused delays instead. You wouldn't want to compromise a smooth process therefore, I have prepared several things to help you be on top of your game.
Closing on a property is one of the most rewarding yet stressful phases in real estate investment. How could this be possible? Weeks before closing, there would be some inevitable circumstances that will come your way. And to get yourself ahead of the game, you have to psych yourself up. There's nothing more fulfilling if you'll come in the closing all set.
Therefore, to ensure that you are all on the same page, here are several things to get you a smooth closing experience.
Review the paperwork
Weeks before closing, you will receive the Closing Disclosure. In order to make sure that everything is set, review and check the disclosure. This document breaks down the cost you will pay at the closing, basically your portion of the closing costs. Keep an eye out on the allocations to ensure that they are all correct and that they conform to the terms of the sale agreement. Doing so will secure that all costs are accurate and you are getting what you are entitled to.
Apart from the Closing Disclosure, there will be other documents you will have to review. All documents must be verified correctly to avoid underwriting issues and ensure that all terms uphold the transparency and accuracy of the agreement.
2. Verify your closing costs' payment method
As you go through the Closing Disclosure, securing the payment method must not be neglected. Figure out how you will pay for the closing costs with your mortgage loan officer and escrow agent. There are two ways to make the payment; it can be via cashier's check or wire transfer thus, securing which method you will use will help you keep the ground running.
3. Be proactive
Along the way, you will come up with questions relevant to the closing process --- the documents: what needs to be submitted prior to the closing itself, what else you should pay for, what to bring (especially for first-timers), etc. Therefore, keeping in contact with your loan officer, escrow agent, and realtor will help you achieve a successful closing. Communicate with them, ask them if there's anything else they need from you. Be responsive. Good communication will ensure a smooth closing process.
In conclusion, these are just a few of the several things you must remember before closing on a property. It is not enough that you have the funds or you have all of the documents on hand. Review, communicate, and always keep an eye out for the details of the event. Do your part. There's no harm in asking questions. Be transparent. Be cautious. And be responsive. Let's celebrate success, together!
For more updates, do not forget to follow us on our socials. We posted a video of "How we close on a property" last week, don't miss it! We are happy to share our milestones with all of you. So this week, another video will be out on our Youtube channel. We just closed on another property! Let's win together! Stay tuned!