One of the major stressors for first time (and even some experienced) home buyers in Connecticut is not knowing what to expect leading up to, and on, the day of closing. While every attorney has their own way of doing things, let me walk you through how we do things at Bayer & Black, P.C.
Leading up to the closing, the biggest source of apprehension revolves around money. How much will we need at closing? How do we pay? What do I need to bring with me? What most buyers cannot understand (and, honestly, I sympathize with the frustration) is we cannot confirm the final closing costs much in advance of the closing. Unfortunately, the figures are often unavailable or changing right up until the day of closing. The most common reasons are the lender adjusting its numbers at the last minute and sellers delivering fuel readings late.
At Bayer & Black, P.C. we try to ease the uncertainty by providing our clients with an advance estimate of closing funds. We send this estimate to our client and ask that our calculated amount, plus a small cushion, be wired to us at least a day before the closing. This ensures we have all the funds we need to close in a timely manner and allows us to issue all necessary payments on the closing date, without our client needing to obtain bank checks or wire money on the day of closing.
Here is what happens on the closing date itself:
First, you will perform your final walk-through of the property with your realtor. A final walk-through is an opportunity for you to visit and assess the property before the closing occurs to ensure the home is in the same condition it was at the time of your inspection. Typically, the walk-through is scheduled in the morning of closing and takes approximately half an hour. If there are issues, those issues will be relayed to me and a solution will be negotiated between the realtors, the attorneys, or both, depending on the issue.
If you are not obtaining a mortgage, then you are done and all the rest involves me, as detailed below. If there is mortgage financing involved, the next stop is my office. There, we will go through and sign all the mortgage paperwork, which generally takes about 45 minutes. That does not mean the closing is done though.
After the seller’s documents arrive at my office (which is usually the morning of the closing), I review them to make sure they are sufficient to transfer title and all necessary documentation is obtained. At the same time, we are obtaining funding approval from the lender. Once funding approval is obtained, the closing proceeds are wired to the seller’s attorney, and, when the attorney confirms receipt, the closing is done. The keys are delivered and you can take possession! This last part (the transfer of funds) usually occurs within a couple of hours of the completion of the mortgage paperwork.