You’ve received the Clear to Close! Now what?

Clear to close

You’ve completed your due diligence and have worked with the lender and title company to get the three magic words: Clear to Close! Clear to close is one of the final stages before your loan is funded. This means that the underwriter has reviewed and approved all necessary documents and you’ve passed!

The lender will not prepared the final documents for you to sign the day of closing.

CLOSING DISCLOSURES – 3 DAYS PRIOR TO CLOSING

Three days prior to closing you will receive your closing disclosures. A Closing Disclosure is a five-page form that provides final details about the mortgage loan you have selected. It includes the loan terms, your projected monthly payments, and how much you will pay in fees and other costs to get your mortgage (closing costs). 

Check out this interactive map of a closing disclosure

The numbers might change slightly after you receive it. The purpose of sending it out at least 3 days before closing is so that everyone has a chance to compare the final terms and costs to those estimated in the Loan Estimate that you previously received from the lender. 

You will be asked to sign upon receiving this document. You signing does not mean that you agree with the numbers, it just means that you were presented with the document. The lender has to prove that it was presented at least 3 days prior to closing.

If you have questions about the numbers listed in this document, please speak to your lender ASAP.

UTILITIES

It’s time to set up your utilities.

  • Electricity
  • Gas (if applicable)
  • Water
  • Trash
  • Internet/Cable

Other items to consider:

  • Forward your mail to your new address. Change your address with loan providers, credit cards, banks, and the payroll department at work.
  • Change address for Social Security benefits within 10 days of moving. Make sure to notify government offices, including the Social Security Administration, Department of Veterans Affairs, and the IRS (if applicable).
  • Update your address with Amazon and any monthly subscriptions boxes you receive.
  • Make sure you canceled and/or redirected scheduled deliveries.
  • Make time to go pick up your mail key from the local post office (if applicable).
  • Cancel all services for your current home: utilities, yard service, pest control, etc.
  • Register kids in school (if applicable)
  • Update voter registration

FINAL WALK THROUGH

You have the right of a final walk through of the property prior to closing. This is typically done on the same day you close. During the final walk through you will make sure the home is in good condition and that the sellers have fixed any items that you have previously agreed upon.

CLOSING

Closing is set and can be found on page 5 of the one to four residential contract, section 9. This might change but keep in mind that it will affect your closing costs so let’s try to not cause delays so it doesn’t cost you any further funds. Any changes to this date will require approval from both you and the seller. It’s critical that you know that time is of the essence. Especially when it comes to the finance process.

We will work out a time that is agreeable to all parties involved. You will need to be present at the closing to sign all documents. If one or both of you can not be present for the closing, please let me know as soon as possible so we can arrange for a power of attorney or a mobile notary.

At closing you will need to bring a valid photo ID.

You will also need to bring a cashier’s check made payable to the title company for the amount due at closing. Your lender will be the one to give you the exact amount needed for closing. This will be disclosed at least 3 days prior to closing. Please note that this can be paid by wire transfer. Please ask me for further details if you choose to make your final payment by wire transfer.

POSSESSION

Buyer is entitled to possession upon closing (signing) and funding. If all parties can sign early enough in the day and your lender is able to send your loan funds before wire transfer cut offs times (typically 3pm) you should be able to get the keys that same day. If there is a delay in the signing and/or funding, you will receive the keys the following business day. That may be Monday is certain cases when you close late Friday.