Closing day has a way of making people feel like the hard part is over. The inspection is done, the loan is approved, and the finish line is in sight. What most first-time buyers do not realize is that the final stretch is where the most preventable problems happen. Not because the process is complicated, but because buyers are excited, tired, and trusting that everyone at the table is looking out for them.
Some are. Some are not. Here is what you need to know before you sit down.
Read the Closing Disclosure Before You Get There
Federal law requires that you receive your closing disclosure at least three business days before closing. It is a detailed document that shows your loan terms, your monthly payment broken down to the penny, and every closing cost you are being charged.
Most first-time buyers receive it, feel intimidated by it, and set it aside. That is the wrong move. The time to question a number or flag a discrepancy is before you are sitting at the closing table with everyone waiting on you. Compare the disclosure to the loan estimate you received at the start of the process. If any fees changed significantly, ask your lender why. If anything is unclear, call your closing attorney the day before. Showing up informed is the single best thing you can do for yourself.
Do Not Make Any Large Financial Moves Before Closing
Between going under contract and closing, your financial profile needs to stay exactly as it was when the lender approved you. That means no new credit, no large transfers, no financing furniture, no paying off accounts with lump sums, and ideally no job changes.
Lenders run a final check on your finances before funding the loan. If something has shifted, it can delay closing or kill the deal entirely. Buyers who do not know this rule finance a living room set two weeks out and end up scrambling. The furniture will still be there after you close. Wait.
Do the Final Walkthrough
The final walkthrough is your last opportunity to confirm that the property is in the condition you agreed to purchase. Any repairs negotiated after the inspection should be complete. Anything included in the sale should still be there. The property should look the same as it did when you went under contract.
Skipping this step because you trust the seller or because you are ready to be done is a decision you may regret. Once you close, the property is yours along with whatever condition it is in. Disputes over items that should have been caught at the walkthrough are far harder to resolve after the deed has transferred.
Understand What Title Insurance Actually Does
You will pay for title insurance at closing. Most buyers sign for it without understanding what they are buying.
Title insurance protects against defects in the ownership history of the property. An old lien that was never released. An error in the public record. A prior claim to ownership that surfaces after you move in. These are not just hypotheticals. They happen, and they can cloud your ability to sell, refinance, or do anything with the property until they are resolved.
There are two policies involved. The lender’s policy, which protects the bank and is required, and the owner’s policy, which protects you. The owner’s policy is a one-time premium paid at closing that covers you for as long as you own the property. We recommend it without exception and are glad to explain exactly what it covers before you sign.
Bring Certified Funds and Verify the Wire Instructions
Closings require certified funds. A personal check will not be accepted. You will need either a cashier’s check made payable to the closing attorney’s trust account or a wire transfer. Your closing disclosure will show you exactly how much you owe at the table.
Wire your funds only after confirming the wiring instructions directly with your attorney’s office by phone. Do not rely solely on instructions received by email. Wire fraud targeting real estate transactions is widespread and sophisticated. Fraudsters intercept closing emails, substitute their own account information, and by the time anyone notices, the money is gone and recovery is unlikely. One phone call to verify the account number before you wire is the only protection that reliably works.
We Represent Buyers at Closings Across South Carolina
Shuler Law Firm handles residential and commercial closings throughout South Carolina. If you are purchasing a home, call us at (803) 774-8500 or schedule a consultation on our website. We make sure our clients know exactly what they are walking into before they get there.
Recent Comments