10 Steps:
1) Define Needs
2) Pre-Qualify
3) Local Info
4) Home Search
5) Make Offer
6) Negotiate
7) Vendors
8) Pre-Close
9) Close
10) Post-Close
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9. Closing On The Home
"Closing" refers to the meeting where ownership
of the property is legally transferred to the buyer. It is
a formal meeting in which most parties involved in the buying/selling
process will attend. Closing procedures are usually held at
the title company's office or lawyer's office. Your closing
officer coordinates the document signing and the collection
and disbursement of funds. Your agent will generally be present
at your closing to read the documents on your behalf, answer
any questions, or help to resolve any last minute or unexpected
details that may come up.
In order for the closing to go smoothly, each party involved
should bring the necessary documentation and be prepared to
pay any related fees (closing costs). There may be more than
one form of acceptable payment for your closing costs so ask
the closing officer which form of payment will be required
and to whom it should be made out. Closing costs will generally
total an amount equal to 2 to 3 percent of the total loan
value not including down payment and the buyer's escrow account.
Sellers sometimes pay for a portion or all of the closing
costs, depending on local market conditions, terms of the
purchase contract, and the seller's cash and timing considerations.
Any such concessions should be acknowledged in writing. Most
lenders will allow a credit from the seller to the buyer for
the non-recurring closing costs. However, they usually won't
allow a credit that reduces the amount of the buyer's down
payment or any of the buyer's recurring costs, such as expenses
for fire insurance premiums, PMI, or property taxes.
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