What happens at a closing? The closer collects all the necessary paperwork from each party (Buyer, Seller, Broker, Lender) and then distributes to each party what they are owed. A very simple example: you (the buyer) bring money to purchase the house and in exchange you get the keys to the house. The closer takes your payment, and the keys from the seller. Then, the closer gives you the keys and the seller their payment. As you can imagine, as more parties become involved, the transaction becomes more complicated.

All the information about the dollar amounts related to your purchase is on a federal form, developed by the Department of Housing and Urban Development called the HUD-1.

You do not have to bring many items to the closing. Once you arrive, you will be signing many documents. Here is what you need to bring with you:

1. Government Issued ID
It must be unexpired
It must have a photo of you
Finally, it has to have your signature

2. Payment
Mortgage: You are getting a mortgage, so your lender will provide most, if not all, of the payment to the seller. You may still have to bring some money to the table, since the loan is usually less than the total amount due at closing.
No Personal Checks: You need to bring a certified or cashier’s check to the closing. You cannot bring a personal check. Your bank will provide a cashiers check, usually for a small fee.
Determining the Amount: Usually the day before, or the morning of closing an estimated total is available. These numbers are subject to change; therefore we will send you two numbers: the estimated total and the amount for the check (usually 10-15% more than the estimated total). This is merely a precaution. You will receive a check back for the amount of the overage at the closing.

3. Proof of Home Owner’s Insurance
Your lender has probably already told you that you must insure your new home. You must bring proof of your homeowner’s insurance to the closing. If you do not have a policy, or are unsure if this applies to you; please contact my office.
How long will the closing last? In my experience, the average time for a closing is 90 minutes; however this can vary widely. If you are concerned about the timing, please contact my office and we can work with you.

Buying a house is a very exciting time and the closing is the culmination of many months of hard work by you, your realtor and your lender. We want to make sure your closing goes as smoothly as possible, so if you have any questions or concerns please call me at 773-481-6648.