This is Part 2 of “12 Crucial Steps of Closing a Real Estate Sale.” We hope you find it valuable. Click here if you missed Part 1. Enjoy!
The Remaining Crucial Process of Closing a Real Estate Sale
8. Lock in Your Interest Rate
Once your loan has been approved, you want to lock in your interest rate as mortgage interest rates fluctuate. Locking in an interest rate prevents you from being at the mercy of market fluctuations that can cause rates to rise before you finalize a property purchase. That said, if rates go down, so does your rate.
A 0.25% interest rate hike can significantly impact monthly payments so locking in as soon as possible is a good idea.
9. Proof of Funds to Close
As with pre-approval, the amount of your down payment and other funding requirements will vary depending on what the agreement says. In general, however, you will need to prove that you have enough money to cover all closing costs and any fees related to buying a home.
10. Remove Contingencies
Contingencies are certain conditions that both you and the seller must meet before closing can occur. These conditions cover everything from home inspections to financing and appraisals and are important to closing a real estate sale.
Before the closing takes place, it’s essential to ensure all contingencies have been satisfied. Removing contingencies completes the agreement, and the transaction can close.
11. Do a Final Walk-Through of the Property
The final walk-through usually takes place a 3 to 5 days before closing. It’s your last chance to make sure the home is in the same condition as when you first viewed it before closing. Additionally, this is when you confirm that the requested repairs have been completed.
12. Understand the Paperwork
Once you’ve reached this point, you’re ready to schedule a signing appointment with the title company and close on your new home! Your escrow agent and loan officer can help walk you through the paperwork. It’s important to understand what you’re signing before doing so, so be sure to take your time and ask questions.
It would help if your attorney were present at the closing to review everything with you. Your attorney will ensure that all legalities are taken care of correctly according to state laws.
How Long Does It Take to Close On a House?
If everything goes smoothly after your home has been appraised and inspected, your loan approved, and any other contingencies met, it may take a few weeks to close. A realistic estimate is between 30 and 45 days from when your offer is accepted.
Wrap up
Buying a home is one of the most exciting things in one’s life. Remember that it is also a big responsibility, and it takes hard work.
The closing process is rather lengthy but can be easier by working with an excellent title company.
If you’re looking for a title company in the Knoxville or Dickson area, we can help. Title Group of Tennessee can handle every aspect of your real estate transaction. We provide a wide range of services to assist you in closing your deal and making sure everything goes smoothly.
Our team knows Knoxville and the surrounding counties very well, so we’ll get the job done as directed. To find out more about our services or how we can help you, call us today at 865-392-5801 or click here.
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