You’re nearing the final stages of buying or selling your house. Everything looks to be in order for closing, but is it, really? Repair disputes can crop up at any time to delay closing. And even a seemingly simple cash deal can fall through owing to, say, a mechanic’s lien that had been overlooked or an unsettled boundary dispute. To help you avoid anything like that, we offer these 5 tips to make the closing process go smoothly in California.
1. Keep an Eye on All the Details
Paying close attention to all the many details is an important one of the tips to make the closing process go smoothly in California. For even small, seemingly insignificant matters can delay closing for days. So make sure all your documents are in order, that the specifics are correct, and that you know the critical dates. A few details you might want to examine closely to verify accuracy are the spelling of names, addresses, and amount of loan.
2. Make a Timeline for Repairs and Do a Final Walk-Through
Of all the issues that can delay closing, problems concerning repairs are right near the top, so this is definitely one of the top 5 tips to make the closing process go smoothly in California. And that is, whether you’re the buyer or seller, to make a timeline for the accomplishment of agreed-on repair sand then perform a final walk-through within 24 hours of closing.This will ensure that the proper repairs have been in a satisfactory manner and on time.
3. Carefully Review Loan Documents
Be sure to review all the loan documents yourself. By law, you have the right to look at the HUD-1, which is the closing settlement statement, at least 24 hours before closing. Compare this document against the good-faith loan-application estimate. If you find discrepancies, talk to your lender. Once all the papers are signed at closing, it’s too late to do anything about it.
4. Contact Lender on Day Before and Day of Closing
Another important one of our 5 tips to make the closing process go smoothly in California is to keep in contact with your lender and stay on top of things yourself. Lenders are known for requesting vital information or documents at the last minute, for example, proof of insurance or bank statement. It’s a good policy, then, to contact the lender a day or so before closing and ask if they have everything they need. Then, early on the day of closing, contact the lender again to verify once more. Also on the closing date, be sure to confirm with your closing agent that loan documents have been received and that everything is in order.
5. Be Sure You Have Funds Available for Closing Costs
Finally, make sure you have the necessary funds and that they are available and accessible before you head out to the closing. Your lender will want proof that you have sufficient cash to cover the down payment and the closing costs before closing. Sometimes it happens that buyers do in fact have the necessary funds, but that they can’t access the money when they need to. So before closing, make sure you’ve done everything you need to in order to be able to present a cashier’s check at the closing table.
Hopefully, these 5 tips to make the closing process go smoothly in California will help you avoid any last-minute issues when you sit down at the closing table. But even when things go smoothly at closing, it can still be a fairly expensive proposition.