Helpful Information for Buyers in a Residential Real Estate Transaction.

Items to Bring to Closing.

Please bring two forms of identification to Closing. At least one form of identification should be a valid (non-expired) government-issued identification card such as a driver’s license or a passport. You will need to bring the cash to close in the form of a certified cashier’s check at least one (1) business day prior to Closing if you have not previously wired those funds to the Firm.   Please Note: The Firm requires that any amount over $1,000.00 be wired as opposed to providing a certified or cashier’s check.  

Calculating Cash To Close.

The Closing Disclosure will provide you with the dollar amount of funds you will need to bring to Closing. In a financed transaction, your Lender will provide you the Closing Disclosure a couple days prior to Closing; in a cash transaction, the Firm will provide your Closing Disclosure.  In either scenario, once the final Closing Disclosure has been provided to you, you will need to bring those funds in the form of a certified or cashier’s check made payable to Carimi Law Firm, LLC at least one (1) business day prior to Closing. In the alternative, you may arrange for wiring of the funds to the Firm.

Please Note: The Firm requires that any amount over $1,000.00 be wired as opposed to providing a certified or cashier’s check. Please contact the Firm to arrange for wiring.

Keys.

Typically, keys will be provided to the Buyer at Closing. However,  Buyers should discuss the delivery of keys with their Realtor and the Seller, as keys are not always delivered to the Buyer at the closing table. Be sure to also ask about garage door openers and keys to any other improvements on the property prior to Closing. Every effort will be made on behalf of the Firm to ensure that you receive these items at Closing.

Utilities.

Please arrange for all utilities (electricity/water/internet) to be transferred the day of Closing. The Firm recommends that clients contact utility companies at least one week prior to closing to schedule setups/transfers. The utility company may request a settlement statement to establish your ownership. The Firm will provide you a copy of your Settlement Statement for this purpose. You will also be provided an original Settlement Statement, which you should retain for your records. The Firm is happy to assist with emailing or faxing settlement statements to your utility company(ies). Should you need assistance in this regard, please let us know at or prior to Closing.

Homeowner’s
Insurance.

Frequently called “Hazard Insurance.” You should secure your homeowner’s policy prior to Closing. In a financed transaction, the Firm will typically collect the first year’s premium at Closing, then mail the premium check to your insurance provider post-Closing. Do not be afraid to call around and obtain quotes from multiple agencies. Pro-tip: Bundling your auto and homeowner’s policy may help save you money.

What is a Mortgage
Escrow Account?

When you obtain a mortgage, you'll probably be asked to put money into a mortgage escrow account to guarantee the lender that the ongoing expenses of owning the property will be handled. The mortgage escrow account is a separate account maintained by your lender which allows the lender to pay real property taxes, homeowners insurance, and mortgage insurance (if applicable). Every month, your lender will deposit a portion of your mortgage payment into this escrow account, and will pay for these items on your behalf when they are due. At closing, the lender will require you to pay a lump-sum of several months payments for homeowner’s insurance and taxes into your mortgage escrow account, called “pre-paids”. Please keep in mind that you may receive a bill for your real property taxes after closing from the county or city. Carimi Law Firm recommends that you send that bill to your lender, as the mortgage escrow account is set up to pay for those taxes.

Title Insurance.

Title insurance is a crucial part of purchasing real property. The purchase of a home may be the largest transaction you’ll make during your lifetime. Title insurance protects you (and your lender if applicable) against losses from defects in title, such as claims or liens against the property. Lender’s title insurance is required for all financed transactions, but it does not protect your equity. You must purchase owner’s insurance for that valuable protection. A title examination will be prepared for you and reviewed by the Firm, but the most thorough and competent title examination cannot absolutely assure that no title hazards are present, despite the knowledge and experience of professional title examiners, or protect against loss from hidden title defects created by misfiling and misindexing in the public records. Risks not created in the public records, such as fraud and forgery, are also covered by title insurance. Dollar for dollar, an owner’s title insurance policy is one of the most cost-effective forms of insurance available to homeowners. We highly recommend that you purchase an owner’s policy.

Here are just a few of the most common hidden risks that can cause a loss of title or create an encumbrance on title: 

  • Deeds by persons of unsound mind, by minors or by persons supposedly single, but in fact married

  • False impersonation of the true owner of the property

  • Forged deeds, releases or wills

  • Frauc

  • Inadequate legal descriptions

  • Instruments executed under an invalid or expired power of attorney

  • Liens for unpaid estate, inheritance, income or gift taxes

  • Misinterpretations of wills

  • Undisclosed or missing heirs