Homebuyers often joke that they feel like they are signing their lives away when going through the stacks of paperwork at closing. Knowing ahead of time what to expect can take some of the confusion out of the process. Here is a list of the paperwork you will encounter at closing:
#1) The Deed is a document that signifies ownership of the property. The deed is prepared by a lawyer.
#2) Also related to ownership, the title company performs a title search, to look for judgments, liens or attachments to the home title. The title company provides a title insurance policy and certificate of title.
#3) The property tax bill is usually provided to the homebuyer by the home seller. But, if not, the homebuyer can gather this document from the assessor’s office at the city building.
#4) Unpaid water and sewer bills can sometimes be left to a home buyer in the transition of the sale, so it is customary for the home seller to provide proof of payment on these bills.
#5) It is important that you look at the utilities records, provided by the home seller, and contact the utility companies to ensure that the utilities change into your name the day of or after closing.
#6) For the closing, a current survey of the property lot is . This can be obtained inexpensively from the city building.
#7) A new homeowner’s insurance policy is from the homebuyer, while the home seller must keep the property insured until closing.
#8) If the home seller has offered a home warranty, these documents need to be presented at closing. Also, service records are appreciated, when provided to buyers, so they can know what recent work has been done on the home.
#9) Finally, the mortgage contract is the largest and most comprehensive of the documents. It contains the agreement between the lending institution and the homebuyer. This contract must be read and signed at closing.