Home buying and selling is no task for the faint of heart. There are multiple steps in the process and many professionals and services that are involved/required. When closing day shows up, whether you’re buying or selling, the last thing you want is for all the time, effort, and money you’ve put in to be wasted. Closing should be a seamless and smooth process for both parties. There are a few parties and processes involved. Here’s what you should know to promote a smooth home-closing.
The Realtor usually represents the seller of the property but can represent a buyer as well. A Realtor takes a negotiable commission of the selling prices which ranges from 4%-6%. When two realtors are involved (one for the buyer and one for the seller), the commission is split.
Very few homes and property are purchased without the help of a lender. A lender assigns a loan officer to home-buyer and will work out a pre-approved loan based upon the appraisal of the home and credit score of the buyer. The loan officer also orders the title search to the property. These factors play into the loan amount and interest of the loan.
A title company, like Beaches Title, will perform a title search on the property to ensure the property is unencumbered (free of liability) and cleared for the title to be transferred to the buyer. The deed and the title are two separate items.
How to Get A Smooth Closing
There are time requirements involved in many steps of the purchasing process. A home equity line of credit (HELOC) is subject to various periods of being on hold and approval steps. The title search is subject period of 7-14 days (varies) to be completed. Multiple parties need to be informed of different approvals all along the way. So, how do you achieve a smooth closing?
– Communication is key! Always be in contact with the many parties involved and communicate what deadlines are in place and if they (lender, title insurance company, etc) anticipate any delays.
– Know the fees! Which fees are being paid by the buyer and the seller
– An experienced Realtor is the way to go! The Realtor involved through the entire process. You’ll want someone who is reputable and ethical helping to get the best deal and provide a worry-free experience.