Most closings take place at the lenders’ attorney’s office or at the seller’s attorney’s office when no loan is involved. While the proposed date of closing is, of course listed in the contract, the actual date of closing is not set until all conditions in the commitment letter have been satisfied and the buyers’ attorney has furnished the bank attorney(s) with the proper documents as discussed above. At least three to five days from delivery of these documents to the bank attorney is generally the time required for review and approval and preparation of the loan documents. The closing date will be within a few days thereafter.
Once a date is confirmed with all parties and their attorneys, adjustments are prepared (i.e. tax pro-rations, etc.) on a proposed Statement of Sale. The bank attorneys provide a list of actual closing costs a day or two before closing so that the purchasers’ attorney can let the clients know how much money to bring, and in what form, to the closing. Generally, the certified check(s), a good supply of personal checks and a proper homeowner’s insurance binder or policy and premium receipt are all that the purchaser must bring to closing.
The purchasers’ attorney will explain the loan documents before they are signed at closing. Typically, it takes almost an hour to explain the twenty-five or so forms and to make sure the title documents are properly prepared and executed and that the correct amount is paid. After the deed is delivered, keys are turned over and house-related information is exchanged, the closing is at an end and home-ownership begins. Copies of the note and mortgage and other documents are given to the purchasers at closing.