Your attorney will prepare and negotiate the Purchase and Sale Agreement (P&S)
Your attorney will advise you on any issues or extensions that arise between the signing of the P&S and the closing
Legal counsel will attend the closing with you and review the certification of title, deed, settlement statement, note, mortgage and ancillary closing documents.
2. Have a home inspection done
Timeframe of when the inspection needs to be done is noted on the Offer
Inspections are at the Buyer’s expense
It is recommended the Buyer also test for: radon gas, wood boring insects, and lead paint (if the home is built prior to 1978)
If the property is serviced by a private well, a well test for quantity and quality is recommended and sometimes required by lender (estimated cost is $250)
Water can also be tested for radon
3. Obtain a Homeowner’s Insurance Policy
This policy must be purchased and prepaid for the first year
A paid receipt and binder must be provided to the lender’s attorney prior to closing
If you are getting a mortgage, your mortgage company will need to be listed on the policy
4. Contact applicable utilities to continue service and transfer into your name
Your realtor can assist you with this; and sometimes this is handled by sellers
5. Calendar your Mortgage Financing Contingency date
Be sure to have written commitment from your lender with conditions you can reasonably satisfy
Contact your attorney or realtor should you need an extension
6. Closing Costs
Closing costs may include the following: originator fee, credit report, appraisal fee, processing fee, points, bank attorney fee, etc.
A more complete itemization of closing costs can be found on the “Good Faith Estimate,” which is provided to you by your lender
An overview of costs, which are collected at closing:
Recording fees, payable to the Registry of Deeds, for documents such as the Deed, Mortgage, and Municipal Lien Certificate –approximately $365
Prepaid interest (from the day of the closing until the end of the month)
Mortgage Inspection Plot Plan—approximately $125
Points—each point is 1% of the mortgage amount
Lender’s Title Insurance—See Good Faith Estimate (GFE) from your lender for costs
Owner’s Title Insurance (if purchased)—See GFE from your lender for costs
Adjustments for taxes, fuel and rents (if applicable)
