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To close the deal on your home, you need a closing agent (also called a settlement or escrow agent). Theyll coordinate document signing for all the parties, verify that both you and the seller have met the terms of the purchase agreement, and finally pay out all funds, transfer the title, and record the deed.
House Closing Process: The 12 Steps of Closing.
Do not: Buy a big-ticket item: a car, a boat, an expensive piece of furniture. Quit or switch your job. Open or close any lines of credit. Pay bills late. Ignore questions from your lender or broker. Let someone run a credit check on you. Make large deposits to your accounts outside of your paycheck. Cosign a loan with anyone.
What Happens at Closing? On closing day, the ownership of the property is transferred to you, the buyer. This day consists of transferring funds from escrow, providing mortgage and title fees, and updating the deed of the house to your name.
Dont Buy or Lease A New Car High-interest car loans, lease payments, and cash down payments affect your debt-to-earnings ratio and, in the eyes of your lender, threaten your ability to meet your closing obligations and mortgage payments.

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Follow the nine steps I outline below to make closing real estate deals something you look forward to, as opposed to something you are scared of: Open Escrow. Conduct A Title Search Get Insurance. Hire An Attorney. Negotiate Junk Fees. Conduct A Home Inspection. Consider Subsequent Negotiations. Remove Contingencies.
5 Things NOT to Do During the Closing Process DO NOT CHANGE YOUR MARITAL STATUS. DO NOT CHANGE JOBS. DO NOT SWITCH BANKS OR MOVE YOUR MONEY TO ANOTHER INSTITUTION. DO NOT PAY OFF EXISTING ACCOUNTS UNLESS YOUR LENDER REQUESTS IT. DO NOT MAKE ANY LARGE PURCHASES.
The last step of the closing process is the actual legal transfer of the home from the seller to you. The mortgage and other documents are signed, payments are exchanged, and finally, the waiting is over: you get the keys.
On closing day, youll pay the down payment and closing costs and sign final loan documents. Your earlier earnest money deposit will typically be credited toward your down payment at this time. In some cases, your mortgage requires no down payment, or the seller may pay some or all of your closing costs.
Closing is the phase in the home selling process when money and documents are transferred in order to transfer ownership of the property to the buyer. The closing date is the date ownership of the property is officially transferred from the seller to the buyer; its an exciting moment.

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