Common Mistakes When Closing on a Home
If you've ever found yourself underprepared, you'll know that it tends to amplify stress. The pre-closing stage of the home buying process can be particularly taxing. With significant amounts of money on the line and a barrage of forms, disclosures, and reports flying your way, it can feel utterly overwhelming. Understandably so, unless you’re adequately equipped to handle it all. That's where I step in.
As a Realtor with Venture Realty Group LLC, I’ve transitioned from being a full-time stay-at-home mom to guiding clients seamlessly through the home selling or buying process. My years of hands-on nurturing have shaped my empathetic approach towards those venturing into the complex realm of real estate. My mentor, Debbie Witcher Tarrants, our Executive Broker, has shared her wealth of knowledge with me which I now pass onto my clients, helping to smoothen their paths through closing processes.
Let me share seven common mistakes that individuals often make during the closing stage, according to three title professionals: Cynthia Durham Blair, Charles J. Esposito, and Cheryl Monahan.
1. Skimming Through Documents:
Digital age-induced shorter attention spans can lead to buyers and sellers glossing over important documents and emails. Avoid this. Take your time to read thoroughly all paperwork handed over by lenders, agents, appraisers, and title officers. Contracts are legally enforceable so ensure you understand everything that they entail before signing them.
2. Overlooking Minor Details:
Cheryl Monahan describes an instance of buyers overlooking a “don’t know” box in a disclosure form, leading to them unknowingly purchasing a house with a dysfunctional water system. Remember that sometimes tiny details can have significant consequences. Get a copy of all paperwork a few days before the closing date, read carefully, and don’t hesitate to ask questions.
3. Ignoring Circumstantial Changes:
Major life changes such as job switching or negotiations on repair credits should be promptly communicated to your lender, agent, and title representative. Failure to inform relevant parties can cause delays or complications in closing.
4. Inconsistencies with Your ID:
Ensure the name on your state-issued ID matches the one on your paperwork. Discrepancies between the two can lead to unexpected hold-ups on the closing day.
5. Lack of Understanding about Home Closing Process:
Don't be left in the dark about your role in home closing. Spend some time understanding the process and the responsibilities that come with it.
6. Improper Funding Methods:
Remember that personal checks aren't accepted when closing a house sale. Opt for wire transfers or cashier’s checks instead. However, take note of the prerequisites and timeframes for both to avoid any last-minute hiccups.
7. Not Asking Enough Questions:
Every acronym or term you don’t understand should be questioned for clarity. You can even preemptively reach out to the title company for a walkthrough of the transaction to ensure a smoother process on closing day.
While the road to closing a home can feel hectic and stressful, it doesn't have to be. With clear communication, thorough reading, and a comprehensive understanding of the process, it can be a breeze. As your trusted Realtor, I'm here to help navigate the path, ensuring a stress-free and successful outcome. Reach out to me, Angela Benight, at Angelakbreality@gmail.com or call me at 501.231.7775 (cell) or 501.259.8437 (office). Let's make your dream home a reality!