The Closing

What does a seller need to do at the closing? As a matter of fact, very little. In many cases, the seller does not even attend the closing. The contract to sell the house was already completed when you negotiated the sales contract (also called the purchase agreement or the purchase and sale agreement) after accepting the offer from the buyer. The closing is primarily about the buyer signing the papers required by the bank so that the bank will agree to write the check to complete the purchase. In many cases, the seller does not even attend the closing.

However, there are may steps a buyer should take in the week before the closing that will help with a smooth transition of ownership. Once the house is no longer yours, you don't want to be paying the utility bills, or having your mail delivered there, for example. There also maybe some key documents that you need to make sure are available at the closing. Here are some of the key things you need to do:

• Get your mail forwarded to your new address. The post office will let you fill out this form in advance and tell them what date to begin forwarding your mail, so take care of it a week or so before the closing. Chances are that you may be running around worrying about moving into your new home, so don't leave this to the last minute.
• Call your utility companies to make sure that your accounts are shut off and that they take a final meter reading on the day of the closing. These things include:
• Disable the phone service
• Electricity
• Oil
• Gas
• Water
• Make sure that all the key paperwork is done well in advance. Work closely with your realtor and your lawyer on this. Key items to worry about include:
• Title search
• Fire alarm inspection
• Radon inspection
• Property tax receipts to show all taxes are paid
• Providing a copy of your mortgage
• Providing a copy of any other liens on your house
• Providing a copy of a survey of your property
• Clear out before the last walk through inspection. Immediately prior to the closing the buyer is entitled to a last walk through inspection. The purpose of this is to insure that there has been no last minute damage to the property. Make sure that you have cleared all your stuff out, and that the property is in broom clean condition before this last inspection starts.
• Make sure that all the documents you are to deliver to the closing, plus the keys, and other items such as garage door openers, make it to the closing. If you are not going yourself, then make sure that your real estate agent has them prior to closing.
• After the closing is complete, cancel your homeowners insurance. You don't want to do this in advance of the closing, as it only exposes you to the risk that something bad happens at the last minute. You bought the homeowners insurance for a reason, so don't take the risk at the last moment!