Closing on your home is exciting but also can be overwhelming, especially if you don't know what to expect. While we usually think of "closing" as being the day you sign all the paperwork, the closing process actually begins the minute the home goes under contract and only ends the day ownership is officially transferred. There's a lot that still has to be done during that time! Here is everything our real estate agents want you to know about closing, from beginning to end.

• Get Pre-Approved
  If you're buying, you should consider getting pre-approved for a housing loan. It's not technically part of the closing process, as pre-approval typically happens long before closing, but it does make closing a lot easier since lending is already in place. It'll also give you a better idea of how much house you can afford, and you'll have time to do a little comparison shopping on lenders.
  
  
• Open an Escrow Account
  Typically sellers will ask for a certain amount of earnest money when a buyer makes an offer to ensure that the buyer is serious about buying the house. An escrow account is a safekeeping account, typically held by the title company, where earnest money, any other money, and important documents can reside until closing day. The escrow account ensures that neither party gets cheated in the lengthy and complicated process of buying and selling a home.
  
  
• Title Search and Insurance
  A title search and title insurance are typically required of the buyer during the closing process, although this is typically handled by the title company that handles your closing. The title search is a search through public records to make sure no other liens are held against the home, as those claimants could come calling once you took possession of the home. Title insurance protects you from any such claims in case the title search misses something.
  
  
• Have the Home Inspected
  If you're buying the home, you'll also want to have the home inspected. A home inspection is a general inspection to let you know if there are any problems with the home. When you submitted your offer, and when the seller accepted it, the resulting contract should have laid out deadlines for the things you needed to schedule, such as the home inspection. The earlier you have the home inspected, the better, as you may want to renegotiate the sales contract if the inspector finds anything seriously amiss.
  
  
• Schedule an Appraisal
  The appraisal is another thing you'll likely have to schedule quickly once you go under contract. The appraisal is typically done by the lender to make sure the home is worth enough to justify the loan amount.
  
  
• Renegotiate as Needed
  Depending on what the home inspection and appraisal find, you may need to renegotiate with the seller. Whether this is a lower price or asking the seller to make repairs is up to you and your real estate agent.
  
  
• Confirm the Closing Date
  Once you have the required inspections and appraisals done, you'll hopefully be in a holding pattern where there isn't much going on until the closing date rolls around. Take this opportunity to confirm the closing date. As the buyer, this may mean confirming with the title company, the seller, and the lender.
  
  
• Check Closing Costs
  As the buyer, this is a good time to talk to the lender about your closing costs. Be sure to ask for a full list.
  
  
• Take a Final Walk-Through
  Before your closing date, you should have an opportunity for a final walk-through of the property, most likely laid out in your contract. This is a chance for both parties to verify that any repairs have been done as requested in the renegotiated contract.
  
  
• Go to Closing
  The very last thing you'll do is to go to the closing, or if the title company is doing a virtual closing, sign the paperwork online. For virtual closings, some paperwork may need to be signed in front of a notary public. Once all the paperwork is signed and the fees are paid, the keys will change hands, and the transfer of property will be complete.

Our real estate agents have walked many buyers and sellers through this process to help them achieve their real estate goals. If you need help with your next real estate transaction, our experts are able to assist every step of the way.

Hopefully, a little better understanding of the closing process will help it to feel less overwhelming, especially if you're a new home buyer and haven't done this before. Fortunately, you don't have to do any of this all by yourself. Contact us today, and one of our real estate agents will help guide you through the process of buying or selling your home.