A real estate transaction does not end at the negotiation table, but rather during the closing. It’s not final until both parties meet and sign the paperwork. If you’re a first-time homebuyer, you may find the entire process confusing and challenging. Below are answers to a few questions to help you navigate this situation.

Frequently Asked Questions on Real Estate Closings

What is closing?

A closing is the last step to make the transfer of property official. You and the seller set the closing date, usually a few weeks after completing negotiations. The agreed timeline allows both parties to address any issues and meet certain conditions before finalizing the transaction.

Are there problems that possibly cause delays?

As with anything, there’s a chance of delays before title closing. Problems with the appraisal, mortgage, home inspection, and documentation can all push the closing date back. Sometimes, you may find unfavorable aspects with the neighborhood or house itself, such as water damage, pest infestation, or foundation issue, that will make you rethink the purchase. It’s also possible that your lender is no longer willing to give you the loan you requested.

How do you prepare for closing?

One way to avoid potential delays in the closing process is to ensure that you’re well-prepared. Work with seasoned professionals, including title closing and escrow agents, attorney, home inspector, and mortgage specialist, who can help you navigate the process. Make sure you receive a closing disclosure that details expected expenses, then compare it with your original loan estimate; for any significant changes, ask why.

What should you expect on the closing day?

On the set date, the meeting takes place at the office of a title closing company.  They are responsible for affirming and ensuring that the buyer receives a good title, which means t’s free from liens, encumbrances, mortgages, unpaid taxes, and questionable ownership.

When you go to the closing, bring valid identification, payment for closing costs, and any remaining documents for the loan office or title company. Remember that you’ll be signing paperwork covering the mortgage, transfer of property, affidavits, and other state-required documents.

Should you need assistance on the closing process for your property, turn to First Financial Title Agency of Minnesota, Inc. As the trusted title insurance agency in Burnsville, MN, they’ve provided a range of services, including title closing, property title search, and owner’s title insurance to homebuyers throughout the area. Call (952) 831-5010 or view their full list of services online.