Step 7: Close The Purchase

Ready To Close?

Now that you've gone through all the phases of your home buying quest, it's time to ink your purchase and get all of your rights to the home. That's the most exciting, quickest and easiest part.

If you're purchasing the home using a rent-to-own program, you probably won't be using a title company to close. Typically the seller will have the rent-to-own agreement prepared based on the terms you had previously discussed and agreed upon.

If you're closing on a purchase using owner financing, you'll need to set up an appointment with the seller and the closing agent. This could be a title company, escrow company or a real estate closing attorney. They'll have all the paperwork ready for your signatures. All parties whose names appear on the Purchase Contract (Earnest Money Deposit Agreement for rent-to-own programs) must be present and sign all closing documents.

You'll just have to review it and make sure everything was put on paper the same way you agreed upon previously. Obviously, if you're not sure, you can always have a real estate attorney review the final paperwork.

Once all the documents are signed by all parties and you paid the closing funds per terms of the contract, you'll receive the keys to the house and you should be ready to move-in. Make sure that you transfer all utilities in your name on the day of closing.

Funds To Close

When you show up for closing bring with you to closing the following funds (cashier's checks or money orders):

1. Balance of your downpayment. That is the difference between your cash downpayment and the earnest money deposit you have already paid.

2. If you are buying on a Lease/Purchase agreement, the 1st month rent is also required to be paid at closing. If your move-in day does not fall on the 1st of the month, you will be notified about the applicable proration of rent.

If you are buying on an Owner Financing agreement, your 1st payment will typically be due 1 month after closing date. Make sure at closing you get precise instructions on when your 1st payment is due and where to send it to.

Congratulations! You've just finished learning all the 7 Steps To Home Ownership.

We Look Forward Seeing You A Happy Homeowner!

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