WHAT SHOULD I LOOK OUT FOR DURING THE FINAL WALK-THROUGH?
This will likely be the first opportunity to examine the house without furniture, giving you a clear view of everything. Check the walls and ceilings carefully, as well as any work the seller agreed to do in response to the inspection. Any problems discovered previously that you find uncorrected should be brought up prior to closing. It is the seller's responsibility to fix them.
WHAT MAKES UP CLOSING COSTS?
There may be closing costs customary or unique to a certain locality, but closing costs are usually made up of the following:
- Attorney's or escrow fees (Yours and your lender's if applicable)
- Property taxes (to cover tax period to date)
- Interest (paid from date of closing to 30 days before first monthly payment)
- Loan Origination fee (covers lenders administrative cost)
- Recording fees
- Survey fee (if applicable)
- First premium of mortgage Insurance (if applicable)
- Title Insurance (yours and lender's)
- Loan discount points
- First payment to escrow account for future real estate taxes and insurance
- Paid receipt for homeowner's insurance policy (and fire and flood insurance if applicable)
- Any documentation preparation fees
WHAT HAPPENS AFTER I'VE APPLIED FOR MY LOAN?
Personal Bankers at Security State Bank do their best to complete an evaluation of your application within 1-2 days. Other lenders may take between 1-6 weeks to complete the evaluation of your application. It’s not unusual for the lender to ask for more information once the application has been submitted. The sooner you can provide the information, the faster your application will be processed. Once all the information has been verified the lender will call you to let you know the outcome of your application. You will also receive documents in the mail that require your signature. If the loan is approved, a closing date is set up and the lender will review the closing documents with you. After closing, you'll be able to move into your new home.
WHAT DO I GET AT CLOSING?
Settlement Statement, HUD-1 Form (itemizes services provided and the fees charged; it is filled out by the closing agent and must be given to you at or before closing)
- Truth-in-Lending Statement
- Mortgage Note
- Keys to your new home
WHAT CAN I EXPECT TO HAPPEN ON CLOSING DAY?
Before closing the closing agent will list the money you owe the seller (remainder of down payment, prepaid taxes, etc.) and then the money the seller owes you (unpaid taxes and prepaid rent, if applicable). The seller will provide proofs of any inspection, warranties, etc.
Once you're sure you understand all the documentation, you'll sign the mortgage, agreeing that if you don't make payments the lender is entitled to sell your property and apply the sale price against the amount you owe plus expenses. You'll also sign a mortgage note, promising to repay the loan. The seller will give you the title to the house in the form of a signed deed.
You'll pay the closing agent all closing costs and the down payment in the form of a cashier's check. The deed and mortgage will then be recorded in the County Recorder’s office, and you will be a homeowner.
DOES MY PERSONAL BANKER FROM SECURITY STATE HELP ME AT THE CLOSING?
Very often your Personal Banker will be with you at the closing. If for some reason they are not able to be there, another Personal Banker or representative of the bank can be at the closing if you request it. Our Personal Bankers want to work with you throughout the process…and see you Happy Ever After in your new home!