Repairs and Walk Through
- If repairs are agreed upon in the contract, they must be completed prior to closing.
- We usually fax paid receipts from workmen to the buyer as soon as the work has been completed. This will lower the buyer's anxiety about the status of repairs.
- Usually buyers make an appointment for a "final walk through" of your home just before closing to check the repairs and observe the condition of the house.
Utility Accounts
- About 5 days before closing it will be necessary to call your utility accounts and request a termination of service on the closing date.
- We will pass this along to the buyers so they can set up their service on the same date.
- You may want to use our free concierge service to disconnect your utilities. Call 1-877-846-5500
- Don't forget to terminate your property insurance after closing!
Loan Payoff
- Prior to closing we will need your current mortgage information.
- The title company will call for payoff information, and make the payoff of your loan(s) after they receive funds from the buyer.
- Usually there are an extra few days included in the payoff to allow time for processing. Any overpayment will be refunded to you by the loan company.
Tax Prorations
- Your share of the current year's taxes will be credited on the closing statement to the buyer from your proceeds of closing.
- If you have an escrow account for taxes and insurance, this will be refunded to you in its entirety several weeks after closing.
What are typical seller's closing costs?
- Title Policy - Based on sales price. (Here is a title policy calculator to figure the owners policy.)
- Real Estate Commission - Per your listing agreement.
- Attorney Fees - For preparation of deed and release of liens - ($200)
- Escrow Fee - Title company fee for closing - ($200)
- Recording Fees - ($100)
- Tax Certificates - ($35)
- Courier - ($50)
- FHA (seller's portion) - Only if buyer is getting an FHA loan - (+- $500)
- 1st Lien Payoff - Check loan balance
- 2nd Lien Payoff - Check loan balance.
- Final Months Interest - Monthly mortgage payments are for the month past. At closing you pay the interest from 1st of month to closing date. (FHA loans charge a whole month.)
- Current Year Taxes - You must pay your share at closing - from Jan. 1 to closing date. Your escrow account will not be tapped for these funds. It will be wholly refunded after closing.
- HOA Dues - Any outstanding dues up to closing date must be paid. (If you have paid in advance, you will receive a credit.)
- HOA Package - This is for subdivision info provided to buyer. (Cost varies from $0 - $250)
- Home Service Contract - If agreed in contract. (usual range is $350 - 525)
- Buyers Closing Costs - If agreed in contract.
Signing Documents
- A day or two before closing, the title company will prepare a statement showing your charges, credits and final proceeds. I will review this with you prior to attending closing.
- After documents are signed, the closer must fax them to the lender for review. Funding of the loan may take place several hours later.
- You may choose to have funds wired to your bank, have your check delivered to you, or return to pick it up.
- Normally, the buyer receives keys and possession to your house upon funding of the loan.
- The buyer and seller do not have to attend together, although many do. Sometimes sellers sign documents several days before the closing date, if this is more convenient.
- It is also possible for buyers or sellers to receive documents by overnight express and sign before a notary in another state.
- Or, one spouse may get "power of attorney" to sign for the other. The goal is to make the process as convenient for the parties as possible.
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