How to Prepare for your Mortgage Closing: What to Know About the Mortgage Closing Process
The mortgage closing is the last step in the home buying process which means you are one step closer to the house and mortgage being officially yours! Today, you may be able to have a virtual or mobile closing where you sign documents from the comfort and safety of your own home.
What to Expect at Closing
The closing may take place at the office of a settlement agent, at the title company’s office, or even at the mortgage lender’s office.
Typically, the following people will attend the closing:
- Home buyer (you)
- Seller’s real estate agent
- Your real estate agent
- Escrow agent
A closing, on average, takes a few hours.
List of Mortgage Closing Documents
At closing, you sign many important documents. Here are some documents you may be signing when you’re ready to close on your mortgage:
- The Closing Disclosure
- A Promissory Note
- A Mortgage
- Federal and State Government-Mandated Documents
- Lender Documents
Remember to ask plenty of questions if you are unsure what documents you are signing.
How Much are Closing Costs on a House?
On average, you will pay between 2 and 5 percent of the purchase price of the home in closing costs. Therefore, closing costs may vary among different borrowers and lending scenarios. Your mortgage lender will review all costs and associated fees with you throughout your mortgage process.