The home closing process for home sellers, by Harriet Robertson.

The home closing process for home sellers

By Harriet Robertson

Home closing is among the final processes of transferring ownership from a seller to a buyer. Home closing is done after a seller selects an offer among the many received and takes one month or two if issues arise. It is usually a stage that involves buyers, sellers and lenders. It is a process that takes place in the office of an escrow. Closing is also called a settlement and happens when both the buyer and seller meet the agreement of the sale contract, and then documents and money are transferred, ensuring that a house is transferred to the new owner in good condition. Other people are included when need be. Sellers, in particular, perform various tasks such as;

SIGNING THE PURCHASE OFFER.

It is among the first stages of the closing process. Sellers sign a purchase offer received from a potential buyer, which includes timelines for inspection and approvals, detailing the payment methods for a house. Sellers are also included in methods that show how the sales will proceed. After signing the purchase offer, the seller is normally required to;

OPENING AN ESCROW ACCOUNT AND, IN SOME CASES, HIRING AN ATTORNEY.

An escrow account is one that an account that is classified as a third-party one and in which a buyer deposits money and necessary documents are held till all issues are over.

Sellers must have an escrow account because that is where the money for a house is deposited. About 1-3% of the money deposited is used as part of the downpayment. Sellers are usually also present as attorneys representing the interest of individuals. Sellers are then involved in ;

THE SEARCH FOR TITLE AND INSURANCE BY THE SELLER.

A title search is a review that shows that property belongs to a seller. Sellers must find s out any issues related to the property, such as if the house was used to take a loan and if the loan is completely paid. It is also essential to find out if any other fees are associated with the property. Insurance on the house is necessary so that the buyers have full information. The seller also looks for title insurance so that the buyer and lender are protected in the future and are assured if there are any problems with the land, the sellers and buyers are protected from accidents such as fire. After a title and insurance research, the seller represents the documents to the lender for confirmation.

COMPLETION OF NECESSARY INSPECTIONS.

Inspections are usually important as the sellers and buyers know a house’s problems if any. Most lenders but not all recommend that a house is inspected before ownership transfers are done. It is always advisable that sellers conduct an inspection long before the buyers have their inspection. By so doing, sellers can make modifications and are aware of any problem in the property to be sold. Inspection is done mostly to check the conditions of plumbing and electrical fittings. It also involves pest inspection of which pest can harm the house if it has most of the fixtures wooden. Sellers are normally not present when a buyer inspects with his professional. After inspections, the seller is involved in;

RENEGOTIATION.

After the inspection, the seller and the buyer resolve the issues. They may decide that the seller mends the house or reduce the house’s price, and the price remains the same. Some sellers consider selling the house through agents who mend the house before the buyer settles in the house, and the sellers pay later. It is normally a good plan if the seller does not

GETTING OF PROFESSIONAL APPRAISAL BY THE SELLER.

The seller, in this stage, gets a professional to assess the value of his house, which is to be sold. Normally the house price is lower than the estimated value calculated by checking the price of neighbouring houses in the street where the house is located, among other sectors. If the house price becomes more expensive than the approximated value,discussions are made and the seller asked to lower the property price. In agreement, the seller;

PREPARATION OF A FINAL WALKTHROUGH.

Sellers clean the house, ensuring it gets spotless and any stains removed. The seller then leaves all the manuals and warrants of appliances to the house in one place so the new owner can easily access them. It occurs when the seller sells the house with appliances like dishwashers and laundry machines. The seller makes a photocopy of the manual and keeps one copy. The seller also provides a vendors list and the people who make repairs to the house. Most of the seller gives contacts of people who are familiar with the house. The the seller checks out for forgotten items, after which he turns off the water shutoff valves. He then locks the house because, normally, a seller is responsible for the house till the last process. The final process that the seller is involved with is:

THE SIGNING OF PAPERWORK.

The signing of paperwork involves the seller, lender and the buyer too. All necessary papers are signed, and the seller is required to present his ID and other necessary documents. The seller gives the house key to the new buyer, and then the money is deposited into the seller’s account from the escrow account.