Getting Ready to Close on a Property? Follow These Steps to Ensure A Stress-Free Closing
Getting Ready to Close on a Property?
Follow These Steps to Ensure A Stress-Free Closing
For most people, buying property -- whether a house, co-op or an investment property-- requires securing a loan from a bank or lending institution. A borrower’s mortgage loan approval is based on a set of financials that are provided to the lender at the beginning of the process. Since a full loan commitment can take several weeks, borrowers should avoid the following actions while waiting to finalize the deal and to walking away with the keys to their new home.
- Changing Jobs during the Mortgage Process: Since a bank representative will contact your employer 24-48 hours prior to closing to verify that you are still employed, notify your loan office immediately if you’ve changed jobs or if you lost your job.
- Applying for New Credit: Applying for credit to buy a big ticket item, such as a new car or appliances, can have an impact on your credit score, which the loan officer will check again shortly before closing. Avoid incurring additional debt until you have closed on the property.
- Moving Money In and Out of Your Account: The source of all fund transfers in and out of your accounts will need to be sourced and documented as part of the mortgage underwriting process. If you do plan to move funds, be prepared to show a paper trail of where the funds are coming from. Maintaining ready access to your documentation is critical in order to minimize any potential delays with your closing date.
- Keep Important Documents Handy: Don’t store or pack W-2 forms, tax returns and bank statements. If not easily accessible, and if needed by the bank, ordering duplicate copies can take several weeks, which can delay the closing date.
- Assuming that Your Interest Rate is Locked In: Your lender will need written instructions from you to lock in your loan rate, so make sure you’ve given the bank approval. Don’t assume your rate is locked in without a written confirmation from the bank.
- Paying Off Debts: It’s possible that paying off debts or delinquent accounts may actually bring your credit score down, rather than pushing it up. Consult with your mortgage loan officer before paying off debts other than your typical recurring monthly expenses.
- Scheduling Movers/Contractors or Giving Notice at Your Current Residence Too Early: Closing dates are impossible to predict before your loan is approved, plus many people’s schedules need to be coordinated to schedule a closing date. Don’t schedule the move, hire a contractor, or give a vacate date on a rental until your mortgage has cleared to close and you’ve confirmed a closing date with your lender or real estate agent. This will help you avoid any unnecessary expenses or last minute changes, including the closing date.
I am a professional real estate agent working in Queens, and I have helped many sellers and buyers in Queens and Long Island. I have also served as the president of a co-op board in Forest Hills.
I have lived in Queens my entire life, and I’ve had a successful career in public relations and sales, including more than 5 years as a licensed real estate salesperson. I offer a thorough knowledge of the communities I serve, including their schools, transportation systems, entertainment and shopping, and most importantly, available houses and apartments. I am well-versed in the exceptional training and preparation that sets Exit Kingdom Realty apart from its competitors. Market knowledge, consistent follow-up, enthusiasm and high energy are the hallmarks of my selling style.