No doubt about it: buying a house or condo is exciting. As a result, many buyers are tempted to pop the champagne as soon as a seller accepts their offer. While finding your dream home is a major accomplishment, it’s important to remember that your purchase isn’t finalized until after closing. Fortunately, with a bit of preparation, you can help ensure that everything goes according to plan during the home stretch of your purchase. Here are a few tips for a smooth home closing.
1) Obtain pre-approval
Being pre-approved for a mortgage is a major step towards an efficient home closing. Put simply, pre-approval represents a commitment from a lender to provide you with a certain amount of financing for your home purchase. Obtaining it often makes finalizing a loan quicker, which can simplify the buying process and eliminate stumbling blocks during the final stages of your transaction.
2) Choose a reliable mortgage lender
Working with a reliable lender is another way to help ensure that your loan is processed efficiently. Toronto mortgage shoppers have many options, including banks, brokerages, and credit unions (to name a few). No matter which route you decide to go, make sure your lender has plenty of experience. To get an idea of what you can expect, ask about average application-processing and mortgage-completion times. Don’t forget that providing proof of income and other required documents as early as possible can help you avoid delays.
3) Agree on seller repair dates
Repair disputes between buyers and sellers are common. They can create setbacks during the closing process—and even derail deals altogether. Fortunately, clear communication can help you avoid post-inspection disagreements and keep your home purchase on track. Your best bet is to work with the seller to establish a clear and reasonable timeline. Ideally, you should aim to have all repairs completed a few days before closing.
4) Make a checklist for your final walkthrough
As a buyer, you’re entitled to do a final walkthrough of the home you’re purchasing. This is your time to ensure that the property hasn’t deteriorated since you last viewed it—and check that the seller has performed all agreed-upon repairs. To make your visit as efficient as possible, create a checklist of things you need to do while you’re there. Must-dos include opening and closing the windows, running all appliances, and ensuring that the HVAC system is working properly. Checking off the items on your list will allow you to enter the closing phase with confidence.
5) Take care of last-minute details
There are a number of other tasks you should complete before you approach the closing table. Ensuring that you have the money ready for closing costs is one of the most crucial. You should also obtain fire insurance, and advise your lawyer as to how you would like to hold a title (a decision that will impact your interest in your new property and what will happen to it if you pass away). Many buyers also forget to contact their utility companies. To avoid being charged for the previous owners’ usage, ensure that the meters are read at closing.
Looking to buy a home? We can help you at every step of the selling process. Get in touch and we can set up a time to talk about it!
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