Here at Bright Law, PLLC, we understand that buying a new home is an exciting time. However, we often find that home buyers are underprepared when it comes to the residential closing process, especially if they are buying a home for the first time. To help you know what to expect from this crucial final step in the process, our team has put together this article explaining the basics of how residential closings work.
- Signing Documents. One of the two main parts of residential closings is the signing of legal documents. During closing, you as the buyer will need to read and sign an agreement between you and your lender that lays out the terms and conditions for your mortgage. You’ll also need to read and sign an agreement between you and the seller that legally transfers ownership of the property to you. If this sounds intimidating, don’t worry–you can simply turn to us at Bright Law, PLLC to get the knowledgeable legal assistance you need.
- Paying Closing Costs. The other main part of residential closings is paying the necessary closing costs. These are the fees and expenses you must pay before becoming the legal owner of the home. These fees include the costs of setting up an escrow account, running a title search appraisal, and checking your credit history. Typically, these costs amount to between 2 and 5 percent of the mortgage loan, but we at Bright Law, PLLC can give you a more detailed estimate based on your particular circumstances.