If you have heard stories of someone buying a home, no doubt the point brought up most often is the complexity of the closing process. Here at Heber Midway Real Estate, our goal is to make it as simple as possible by providing our clients with the information they need from beginning to end. To get a better idea of how to close on a home, here are the steps to follow to close on your new home quickly and easily.
1. Hire a Real Estate Attorney (Also Known as a Closing Agent)
Closing on a home is complex both financially and legally, and while your loan might be taken care of, you will need a representative to keep your rights in mind through the process. The safest course is to hire your own independent attorney, as they will make sure that everything with paperwork is above board and by the book.
2. Purchase Homeowners Insurance
Next, it is time to protect your new asset with homeowners insurance. This is a 100% necessity because it protects both you and your lender during the closing process. After all is said and done, the average price of homeowners insurance in Utah is about $750, so be sure to factor this into your future finances.
3. Obtain Title Insurance
When purchasing a home, you aren’t just buying the property; you are also buying the title, the sole ownership of the home. It may shock you to learn that many homeowners have gotten into serious disputes when a bank, a real estate firm, or some other third party suddenly declares ownership of the home. Title insurance prevents this and ensures that the ownership of your home is never questioned.
4. Complete the Loan Process and Make the Down Payment
During the closing process, settle your finances through your financial institution. You will begin paying your mortgage as soon as the closing process ends. Your loan officer will give you the instructions necessary for this process. Did we mention that the closing process can be complicated? Fortunately, you will have many people to rely on for assistance, especially our experienced real estate brokers.
5. Review Your Closing Disclosure
The closing disclosure is the most important document to review, as it itemizes every cost associated with closing on your new home. These costs should be the same as the estimate given to you at the start of the process. During this review, be sure to ask any questions you might have, especially if you feel something is out of place.
6. Gather Your Documents to Complete the Closing
To complete the closing process, you will need:
- Photo ID
- A cashier’s check for the closing costs (and a checkbook in case of anything else)
- Your homeowners insurance policy
- A list of previous addresses going back at least ten years
- A copy of your closing disclosure to verify everything is correct
7. Go to the Closing and Complete Federal and State Registration
At closing, everything will be signed, the payments exchanged, and (finally) you will get the keys and any keypad combinations/security system information. This will be the last time to ask any questions and fix any errors before making things final, so be sure to go through everything with a fine-tooth comb. Your attorney and your trusted real estate agent will assist you in this.
Call Heber Midway Real Estate to Buy or Sell Today
We know how stressful it can be to go through the closing process for a home, especially for brand-new homeowners. We also know how liberating it is to call everything complete! Give us a call today and start on the path of homeownership.