Once an offer on a house is accepted and the contract signed, it may seem like the hard work is over, but an easy closing is not guaranteed.
Planning and communication are crucial to a successful real estate closing, real estate experts say:
1. Do your homework (and make sure agents do theirs, too).
When you find the right house, make sure all the necessary certificates of occupancy are in place, says Susan Owen, an agent with Coldwell Banker Residential Brokerage in Ronkonkoma. There should be a clear title that includes no open permits or liens against the property or homeowner.
An experienced real estate agent can also do a lot of groundwork, including calling the tax assessor’s office to make sure that the buyer qualifies for the true tax of the property.
“We’re supposed to find out the tax with the STAR credit,” Owen says. “The seller might have a VA discount, for example. I always call. If the tax is $14,000 and not $10,000, it could make the buyer not qualified.”
It’s also important that the agent is at the appraisal, since he or she might be able to point out things that aren’t obvious that could have an impact on the price, such as a geothermal heating system.
Planning and communication are crucial to a successful real estate closing, real estate experts say:
1. Do your homework (and make sure agents do theirs, too).
When you find the right house, make sure all the necessary certificates of occupancy are in place, says Susan Owen, an agent with Coldwell Banker Residential Brokerage in Ronkonkoma. There should be a clear title that includes no open permits or liens against the property or homeowner.
An experienced real estate agent can also do a lot of groundwork, including calling the tax assessor’s office to make sure that the buyer qualifies for the true tax of the property.
“We’re supposed to find out the tax with the STAR credit,” Owen says. “The seller might have a VA discount, for example. I always call. If the tax is $14,000 and not $10,000, it could make the buyer not qualified.”
It’s also important that the agent is at the appraisal, since he or she might be able to point out things that aren’t obvious that could have an impact on the price, such as a geothermal heating system.
2. Hire a real estate attorney.
It’s important that a real estate transaction is handled by an attorney who specializes in real estate, says Dawn Wands, an agent with Douglas Elliman Real Estate in Port Washington. Don’t use a friend or an acquaintance who happens to be an attorney.
“Every time I’ve had someone who is not a real estate attorney, everything has gone horrific,” Wands says.
3. Wait on big purchases.
Hold off on making big purchases and pay credit card bills on time in the months before closing to prevent jeopardizing your loan approval.
“We make a joke and say you’re in credit prison when you sign a contract,” says William Leck, a loan officer with Fellowship Home Loans in Rockville Centre. “Just because you’re approved from day one doesn’t mean you’re automatically greenlighted to the closing table.”
If you’re relocating and need to purchase a car, or are starting a new job before closing, for example, make sure to run everything by your loan officer.
“Tell your loan officer to run a check with the new payment to make sure your approval isn’t in jeopardy,” Leck says.
Read Full Article Here: Buying a House? Tips for a Smooth Real Estate Closing
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