Like every local real estate office, we have a preferred title company we often use for our closings, All American Title in Brandon. They have some tips to ensure a smoother closing that I wanted to share with you.
- Marital Status If as a buyer or seller you are married and the home is or will be homesteaded both spouses must sign the documents at closing. This applies even if you are separated because you are not legally divorced yet.
- Title Vesting If you want your name to be on the title your name must be written on the sales contract. If you are not on the contract or wish to change the way your name is on the title both parties will have to sign an addendum.
- HOA Is there an HOA and do they require approval of the buyer? If so the buyer needs to contact the management company soon after going under contract. The HOA approval can take several weeks.
- Payoffs The outstanding principal is not the same as the payoff amount on the sellers mortgage. Interest is paid in arrears meaning the payoff is the principal balance plus any interest due along with any fees the bank may charge.
- Mail Away Closings If you are not in the state of Florida (because this is your second home or vacation home for example) it may be possible to do a “mail away closing”. The title company needs to know right away and will best advise. All documents will need to be signed in front of a notary with witnesses.
- Wires All payments and money transfers will be done by wire. It is best to do this before the day of closing so it does not hold up the close. Closing cannot be completed until the funding goes through, meaning you will not get your keys to your new home until then.
- International Wires International wires almost always go through a “middle man” bank who will add an additional fee (about $20) so be sure to include that in your amount sent.
- Closing Date Changes All monies are figures based on the closing date. If the date needs to be changed by either party it will change the amount due on taxes and such. The title company needs to be notified as soon as possible.
- Signing vs Funding Once all of the documents are signed by both parties the lender will have to give full funding authorization. Sometimes they will ask for an additional document signed.
These are just a few tips to understand about the closing of your home. Your Realtor will make sure all of this and more is taken care of in a timely manor to ensure a smooth transaction for you.
As always if you have any questions give me a call, I’m here to help you!
Kelly Harden, REALTOR®
Century 21 Shaw Realty