The Closing Process Guide for Homebuyers in Dearborn, Michigan
What Happens Before Closing Day?
According to Sonic Title experts in Metro Detroit, the closing process is the final step in purchasing a home. Before closing day, a few critical events take place. Firstly, the buyer's lender will finalize the loan approval, ensuring all financial documents are in order. Once approved, a closing date is scheduled. During this time, the buyer should conduct a final walk-through of the property to confirm that the home is in the expected condition and that any agreed-upon repairs have been completed.
Who Attends the Closing?
The Sonic Title team has found that several parties are typically present at a closing. This includes the buyer and seller, their respective real estate agents, the closing agent from Sonic Title, and occasionally the lender's representative. Each individual plays a vital role in ensuring a smooth transaction. The closing agent will guide the process, ensuring all documents are signed and verified.
Documents You'll Sign
A question we frequently hear at Sonic Title is: "What documents will I need to sign?" The answer is several key documents, including the deed, mortgage, and closing disclosure. The deed transfers ownership from the seller to the buyer, while the mortgage outlines the loan agreement terms. The closing disclosure provides a detailed breakdown of the loan costs and terms.
Understanding Your Closing Disclosure
It's crucial to review your closing disclosure thoroughly. This document, provided three days before closing, outlines the loan's terms, monthly payments, and closing costs. Verify that all details match your expectations and the loan estimate. If discrepancies arise, contact your lender immediately to resolve them before closing day.
Closing Costs Breakdown
In Dearborn, typical closing costs can range from 2% to 5% of the home's purchase price. These costs include loan origination fees, appraisal fees, title insurance, and more. It's important to budget for these expenses in addition to your down payment. Sonic Title ensures transparency in all fees, providing a detailed breakdown for clarity.
The median home price in Dearborn is $245,000, making it 15% more affordable than the Metro Detroit average.
Wire Transfer Safety
To prevent wire fraud, Sonic Title advises confirming wire transfer instructions verbally with the intended recipient. Always use a known phone number and never rely solely on email instructions. This step is crucial for safeguarding your funds during the closing process.
Final Walk-Through Tips
Performing a final walk-through is essential to ensure the property is in the agreed-upon condition. Check that all repairs have been completed and that no new damage has occurred. Verify that appliances and fixtures included in the sale are still present and functioning.
What to Bring to Closing
On closing day, bring a government-issued photo ID, proof of homeowners insurance, and a cashier's check or proof of wire transfer for closing costs. Having these documents ready ensures a smooth and efficient closing process.
After Closing: What Happens Next?
Once all documents are signed and funds are transferred, the buyer receives the keys to their new home. Sonic Title files the deed with the county recorder's office, officially transferring ownership. It's time to celebrate your successful home purchase in Dearborn!
Common Closing Day Questions
A common question we hear from Dearborn buyers is: "What if there's an issue at closing?" The answer is that most issues can be resolved on the spot, thanks to the presence of all necessary parties. However, if significant discrepancies arise, the closing may need to be rescheduled to address them adequately.
Whether you're buying your first home or refinancing, Sonic Title is here to help. Our expert team in Dearborn ensures a seamless closing experience, handling all aspects with professionalism and care. For questions or to schedule your closing, call Sonic Title at (313) 251-5145. We're here to make your home-buying journey as smooth as possible.
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We do not discriminate on the basis of race, color, religion, national origin, sex, familial status, or disability.
Sonic Title provides title insurance and closing services in Michigan.
Title insurance policies are underwritten by licensed underwriters.