FAQ: The Closing Process for Homebuyers

Purchasing a home is one of the most exhilarating events in a person’s life. Whether you’re buying your first place, your dream house, or the home where you plan to retire, sitting at the closing table is surely a highlight along the journey called life. If you’re about to close on a new property, you may be wondering what to expect. Read on to explore some of the most commonly asked questions surrounding the closing process when buying a home.

How long does it take to close on a home?

Closings are typically scheduled about 30 to 45 days after contract ratification. This timeframe may vary, however, depending on the type of mortgage product.

What should I bring to my closing?

On the day of closing, you’ll need to bring a government-issued ID (two forms of identification may be required, in some cases) and payment for closing costs (in the form of a certified or cashier’s check).

Who conducts a real estate closing?

Closings are conducted by a title closing agent or a real estate attorney.

How much will I pay in closing costs?

Closing costs are determined by a number of factors. For buyers, closing closes are generally between 2 – 7% of the sale price of the home. 

What is included in closing costs?

Settlement costs for homebuyers vary from case to case, but often include:

   • Mortgage origination fee and loan discount points

   • Mortgage insurance

   • Appraisal fee  

   • Homeowner’s insurance

   • Pre-paid mortgage insurance

   • Property taxes

   • Transfer taxes

   • Title search fee

   • Recording fees

   • Other closing fees

   • Lender’s title insurance (generally required)

• Owner’s title insurance (not required, but highly recommended)

For more on the closing process for homebuyers, please contact Linear Title & Escrow today.

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