What Happens at Closing

What Happens at Closing?

It's the moment you've been waiting for—well, one of them. You've gone through the home-buying process, made an offer, and now it's time to sign on the dotted line. But what exactly happens at a closing? Let's dive in and find out!

So, what happens at a closing?  This is where you get your keys!  But first things first. 

 Who Attends the Closing?

Here in Michigan we close at a title office.  There are a few people who will be involved in your closing  1) the buyers; 2) the sellers; and 3) a representative from the title company who will explain all the necessary documents that need to be signed     Other parties include the real estate agents as well as the buyer’s lender

 How Long Does Closing Take?

A closing will take approximately 40 minutes.  The buyers sign first which takes about 30 minutes because they have the most papers to sign.  Then the sellers will sign which takes about 10 minutes. 

What Should I Bring to Closing.

Buyers are sellers are expected to provide a valid photo id such as a driver's license or passport.   Don’t forget that, it’s very important because you have to prove who you are.  If you’re the buyer, you must bring your down payment in the form of a cashier’s check from your bank or other cash equivalent such as a wire transfer.  Your lender will tell you how much to bring to closing in the form of a Closing Disclosure document that itemizes all the details of the transaction such as purchase price, transfer tax, recording fees, and the like.  If you’re the seller, you will need to bring keys for any locking doors and garage door openers. 

The Basics of Closing

At the closing, you will sign a a huge pile of papers that the escrow officer will explain to you in detail  ...  so work out that hand muscle before you go … because youre basically sign your life away to the lender promising to pay them back for borrowing their money for the next 30 years (assuming you’ve got a 30 year loan).  Other important documents include tax forms related to filing taxes, the deed which transfers legal ownership rights from one party to another,  and various disclosure statements required by law.   If you are paying cash for your house, you will have far less paperwork because there is no lender.

The Fun Stuff

Once all those forms have been signed and stamped with official seals it's time for one of our favorite parts – exchanging keys!  it marks the end of a long journey and your transition into homeownership or selling your property!  This is when buyers get their new set of keys and sellers get their check and say goodbye to their home.    By familiarizing yourself with what happens throughout each step of the process—from signing papers to exchanging keys—you can confidently approach reaching this milestone in your real estate transaction!   and get ready for an exciting adventure full of new beginnings!  

So that’s what happens at closing.  If you have closed on your home, watch this next video so you know 5 things NOT to do after you close on your house.   Don't Do This After Closing 

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