So you’ve finally found it – the home of your dreams. Your offer has been accepted and you can hardly sleep you are so excited. But as you get ready to start picking out drapes, keep in mind there are still some important issues take care of while awaiting the day you get to close on your new home.
Unfortunately, for many soon-to-be homeowners, there are quite a few things that could possibly go wrong before you sign those closing documents. Since every situation is different, we came up with a small list of things anyone can do to help ensure a happy closing day.
Cover the basics.
Things like having an inspection, doing a final walk through and getting a second opinion on an appraisal are tasks you should be more than happy to do. Simply put, there are many opportunities for unpleasant situations to arise with the sale of the home. For instance, a long lost heir could come out of nowhere claiming the house as theirs after you buy it. As outlandish as it sounds, things like that have happened before. Something as small as doing a title search and obtaining title insurance would be beneficial, so that sort of things doesn’t happen to you.
Open an escrow.
An escrow is a neutral third party who is responsible for holding all monies and documents associated with the sale of the house until the deal is done. No one wants to get swindled, and truthfully either party could decide to back out at the last minute. So this will at least give the other a piece of mind while any obligations are being fulfilled.
Hire or consult with a lawyer.
A real estate attorney can help you to have a clear understanding of your contract, and any mortgage fees associated with your closing costs. You have the right to view all documents at least 24 hours before signing, so they also may be beneficial in negotiating those fees or your offer altogether in the event that something does come up before the closing.
Don’t assume – ask questions, and double check everything!
The last thing you want is for the deal to fall through at the last minute because of missing documents, or human error. Make sure you have submitted everything well ahead of time, and verify that all information is accurate. Don’t just be so quick to sign thinking its ok just because you are ready to be done. Bottom line, if you are going to assume anything…it should be that something very well could go wrong.
Buying a home can prove to be stressful for all parties involved. Once you’ve made a decision on one, due diligence is necessary to make sure the process goes as smoothly as possible. It is completely ok to be overly cautious, which in this case is just another way of saying thorough. And while you could never completely predict the future, it is possible to at least guide it in the right direction!