Tips To Prepare When Closing On A Home

Closing is one of the most significant steps on your journey to homeownership. This is when you finally get to cross the finish line and get the keys to your new home. You’ll cross all the T’s and dot all the I’s to finalize everything and be ready to move in and enjoy. As a proud family-owned-and-operated company, McKee Builders has been building homes in Pennsylvania, Delaware, and Maryland for three generations. We’ve worked with many homebuyers including first-time home buyers. We’re always here to help you find the right community, home design, and everything you need, all the way through the home buying process and beyond. Before your closing day, here are a few tips to help you prepare.

Our Best Tips

1. The Final Walk-Through

Completing a final walk-through is a crucial step before closing. This means you’ll get the chance to take a walk through the completed home and make sure any repairs you requested have been done. Your builder team will help you get familiar with all of the important safety features and ensure every last detail is to your liking. Together, you and the team will make sure to check that everything is in working order so you can start filling the home with your belongings and create some of your best memories.

2. Schedule A Date

Whether it’s your first time closing on a house or you already own a home and are just upgrading, it’s important to consider the timeline. That includes setting up a day and time that works best for you and your title company to prepare your closing documents. For example, if you need to move from your current residence by a specific date, you’ll want to make sure it aligns with moving into your new home. Pick something that fits your daily responsibilities to ensure you’re well-prepared and feel confident.

3. Set Up Your Funds For Payment

Prepare to have the funds for closing costs available in the preferred form of payment. Most lenders won’t accept a personal check or money order, so make sure you know what they prefer so you can prepare how you will transfer the funds in advance. Once you’ve confirmed the correct required amount, here are some common ways your title company may accept your payment.

• Certified check
• Cashier’s check
• Wire transfer

4. Consider A Mortgage Repayment Strategy

Purchasing a home is certainly a huge investment, and it can be unnerving to come to terms with that. Working with a trusted lender who will make sure you select the best financing option for your situation will help ease the apprehension. First, remember you’re not just spending your savings, you’re investing it in real estate (a good investment that only appreciates over time). Secondly, paying just one extra month of your mortgage towards your principal each year can build equity faster.

5. Thoroughly Read & Understand Your Closing Disclosure In Advance

The Closing Disclosure is a form that lays out the details of your loan, fees, insurance, interest rate, and estimated monthly payments. You’ll receive this information before closing, so to feel extra confident in your purchase, take a moment to review and understand the Closing Disclosure in advance. The Consumer Financial Protection Bureau has a checklist guide of how to check for any problems and flag them. Some things you’ll likely confirm are:

• The interest rate
• The loan type, amount, and terms
• The spelling of your name, address, and contact info
• Any seller concessions, fee coverage, and warranties

6. Know Common Home Closing Documents

Planning ahead is never a bad idea, especially for the day of closing on a house. Here are some common closing documents you’ll likely see and need to review and sign at the closing table.

• Property Transfer Forms
• The Affidavit of Title
• The Mortgage
• Mortgage Application
• Promissory Note
• Closing Disclosure
• Flood Insurance Disclosure
• Escrow Documents or Waivers

7. Use A Closing Checklist

• Connect With The Closing Agent
• Review Your Documents
• Prepare Commonly Needed Items
• Check the Basic Info & Fees
• Prepare Your Closing Funds
• Select Homeowners Insurance
• Review Seller Responsibilities & Warranties

Contact McKee Builders Today!

Knowing what to expect on closing day is crucial for any new home purchase, whether it’s your first or fourth home. No matter what, McKee Builders wants you to feel confident in your purchase. We’re happy to help you with every step from finding the perfect home in one of our communities to closing and beyond. These tips are just one way we’ll make buying your new home go smoothly. Still on the fence? Let us know if you have any questions. We look forward to assisting you!