Closing day is like a new beginning for homeowners.
Sure, there may be some stress, but a good real estate team will ensure your closing day goes smoothly.
When planning a home purchase or sale, Niagara real estate clients usually come up with some very good questions.
Our clients are curious about every step, from getting their home appraised and listed, to open houses, to getting or making offers, to inspections, and even to closing the deal.
For now, let’s focus on one of the most-asked questions: “What happens on closing day?”
Our Newbigging-Pearson real estate team wants you to be comfortable with each step of the selling or purchasing process, so to help, we've provided a rundown of what to expect on an average closing day.
First, it’s important to realize you are part of a fairly large group of people who are going to look out for your interests.
Your team includes you, our Newbigging-Pearson real estate team (which will include us, our broker and support staff), your lawyer and his or her staff, your insurance representative and your mortgage broker or financial institution representative.
In a way, your team also includes the seller and his or her team, who are also working to make sure nothing goes wrong with this sale or purchase.
Working together, our combined experience will ensure everything goes smoothly. After all, it’s like a new beginning for both the seller and homebuyer, and we want to make sure it’s filled with good memories of great teamwork.
In order to have adequate time to process the sale, allowing for mortgage arrangement, insurance coverage and title search, closing day should be set for three weeks to one month after the seller has accepted your purchase offer.
This is the day your purchase or sale will be finalized.
This means that:
* Money will change hands from the homebuyer to the seller: Your team will make sure you are aware of how much you will need. You will need your down payment, title registration fees, land transfer tax, legal fees and funds from your mortgage company. Your lawyer will take care of the legal matters at this time, including transferring funds to the vendor’s lawyer, usually via courier.
* Once the funds have been received, the vendor’s lawyer sends by return courier to your lawyer the deed signing ownership of the home to you, plus keys and other applicable legal documents.
* At this point, your lawyer will register the deed and your mortgage, as well as pay any registration fees and land transfer tax. You will then be called to your lawyer’s office to pick up your package, which will include signed documents and keys.
Congratulations: You are free to move in to your new home!
* Later, usually by mail, your lawyer will send you a final report that summarizes the transaction.
* For the seller on closing day, funds received from your lawyer will be disbursed by their own lawyer, being used to pay any old mortgages, real estate commissions, legal fees or outstanding property tax balances. Once this is complete, the seller is contacted by his or her lawyer to come and pick up the cheque.
Closing day can be stressful, especially if your real estate team or lawyer’s office is closing more than one home sale. Waiting for funds to be transferred and keys to be delivered can take some time, especially if you live in a large city.
The Newbigging-Pearson real estate team tries to make things go a smoothly as possible, so you, your legal team and your financial institution are well prepared for the big day.
We love seeing people embark on new beginnings – closing day for new homeowners is definitely that.
Are you ready for something new? The Newbigging-Pearson real estate team is here to help!
Reach our Newbigging-Pearson team at 289-686-1552, or send us a message via our website HERE, on our contact page.
Let’s talk!