Congratulations your loan is approved!
These words should be music to your ears and lift a weight from your shoulders, but what happens next? Let us help you avoid common pitfalls that can delay closing and help you be 100% prepared for closing.
Our team at Premia Relocation Mortgage works with a variety of people and companies to gather the necessary information to complete your home purchase, which includes identifying a closing agent, which can be a title office or attorney. This closing agent will open a title order to begin the closing process. This is a historic review of your home that includes ensuring there are no outstanding loans, tax information, collect fees from all parties, and that all insurances are in order. After a thorough review, a title commitment is prepared and delivered to us, your lender, so that a Closing Disclosure (CD) can be created.
Like the loan estimate, a CD is an explanation of the fees, your mortgage rate, monthly payment and closing costs. It is probably the most important piece of paperwork in the mortgage process.
What to Avoid During this Time
Below are some actions that can cause your closing to be delayed.
The Closing Disclosure
- Steer clear of making large purchases, co-signing a loan, taking on additional debt or having your credit pulled. Your credit is monitored through closing.
- If you are planning on moving money between accounts or making a large deposit, do it early in the process and keep a paper trail. Ideally, we like to see your monthly bank statement.
- Any purchase contract addendum could result in additional documentation being required or may change the terms of what we can lend. Before executing an addendum, please call us to discuss the details to avoid delays in your closing.
- Notify us right away if there is any change in direction or terms of the home you are departing.
A preliminary CD is provided at least three days prior to closing and summarizes the mortgage loan terms, monthly payment, closing costs, finance charges. While the CD is a preliminary final, we ask that you eSign this document within the DigitalMoveTM
Portal upon receipt to avoid delays in closing. If anything looks incorrect notify your mortgage consultant. Your client loan specialist will provide a final version by email for your closing as soon as the closing agent confirms they have received all fees from all parties.
Actions to Prepare for Closing
Its Closing Day!
- Know the amount of cash to bring to closing to cover closing costs. Its on your closing disclosure.
- Call your closing office and confirm their requirements for funds – do they accept a wire transfer or cashier's check. To avoid mortgage fraud, always call your closing office at their publicly published phone number to verbally confirm wiring instructions before initiating a wire, not a phone number within an email.
- Connect with your bank or financial institution to clarify steps to obtain a wire transfer or cashier’s check. Especially when relocating to a new area, it is important to see if there is a local branch near you.
- Anyone on the loan or listed on the title is required to attend closing with two forms of ID. If you are not able to be at closing, please let your client loan specialist know immediately so that steps can be made to obtain a Power of Attorney.
The closing process differs from state to state and is overseen by the closing agent who will facilitate the signing. You will be required to wet sign documents.
If the closing office can utilize our DigitalMoveTM
eClosing technology, you may be eligible to eSign most of the closing documents on the day of closing prior to your signing appointment
. This will limit the time necessary to wet sign the final documents at the appointment.
Once the buyer(s) have completed signing the closing documents, the closing agent will properly disburse the funds, and the deed of ownership will transfer from the seller to the buyer. You will then receive the keys to your new home!
Mar 09, 2021