Buying your first home – Step 13: Closing Day
We have now arrived at the end of our journey down the path to homeownership as we have arrived at the anxiously awaited day of Closing Day. Although there were many steps we had to complete the actual time elapsed from Step 5 – Negotiating an Offer to Step 13 – Closing Day has only been about 30 calendar days.
Closing day is the day you will officially close and become proud owners of your first home.
Where does the Closing occur? – In Spring Texas, our closings are held at title companies. The title company that will hold the closing is the same title company you made your earnest money check payable to. The closing will occur at a defined scheduled time.
Who attends the Closing? – The title company’s escrow agent, the sellers’ listing agent, the sellers, the buyers’ real estate agent, and the buyers are the parties at the closing table.
What to bring to Closing – A valid drivers license and a cashiers check made payable to the title company for the amount needed to close on the home.
How long does the Closing last? – You should budget between 1 to 2 hours. The title company’s escrow agent will briefly describe the documents you need to sign. If you want to read all of the documents before signing you should budget 2 hours of your time for the closing.
Difference between Closing and Funding – After you and the sellers have signed all the documents that were placed in front of you the closing has officially taken place. But you do not own the home just yet. The next step is for the title company’s escrow agent to send the documents over to your lender. The lender will then wire to the title company the money to fund the loan. After the closing has occurred and the loan funded, a BIG CONGRATULATIONS is in order because you are now the owners of your first home.
If you have missed one of the previous steps in our first time home buyers series, you can find them through the links below:
- Step 1 – Rent or Own? How to determine which one is for you.
- Step 2 – Why you should get Pre-Approved for a loan before you shop for a home.
- Step 3 – Which real estate websites to use in your search for a home.
- Step 4 – Get a Buyer’s Agent to represent you.
- Step 5 – Negotiating an Offer and closing the deal.
- Step 6 – The Option Period – what is it and what you do during it
- Step 7 – The Home Inspection – types of inspections, what they cover, and what they cost
- Step 8 – Getting the home insured
- Step 9 – The Survey and Appraisal – what are they and how much do they cost
- Step 10 – Deed Restrictions and Title Commitment – why you need to review them
- Step 11 – The Home Warranty – what is it, how much does it cost, and what does it cover
- Step 12 – The purpose of the final walk-thru and taking care of last minute items
- Step 14 – Top 5 things to do after you have closed on your Spring Texas home