Top 5 Closing Tips
Tip #1
The contract of sale is the written instructions as to how the closing is to be handled. The purchase price, the party paying for closing costs from the deed stamps to pre-paid items for the buyer, the party responsible for repairs if needed, the closing date and location and any contingencies of financing are all outlined in the contract for sale. It is important to understand the agreement before it is signed.
Tip #2
Consider getting a home inspection. Remember you will more than likely sell your home and when you do, your buyer will inspect. It is best to find the repairs now rather than when you are paying for the repairs as the seller. If your inspections call for repairs, you may consider obtaining a "clearing" statement from a licensed contractor or from your licensed home inspector stating the repairs have been completed properly. This document is for your records and for your protection.
Tip #3
Understand tax exemptions – four percent and homestead.
Tip #4
You may consider getting a new survey or walking your boundary lines very closely to determine if there are any encroachments or projections you will have to negotiate when you are selling your home, and your buyer does get a new survey. Look out for shared fences, shared driveways, the neighbors personal items being stored on the edge of your property, or your concrete drive being just over on your neighbor's property. Oral agreements should not be relied upon for many obvious reasons, but one being that your current neighbor will sell one day as well, and you don't get to choose your new neighbors.
Tip #5
Closing at the end of the month may save up-front interim interest, but this is not a penalty – talk with your lender and understand this. Choose the middle of the month to close. The calendars of all parties (lender, attorney, contractors, home inspectors, etc.) involved are more than likely less crowded.