If you've made
it through the arduous ordeal of getting loan
approval, then all that remains to be done is to
sign the necessary
paperwork and to pay the
closing cost and escrow fees. If you have not
already received one, request a copy called
"Settlement Costs - a HUD Guide" from your local
HUD office.
The paperwork
will consists persons involved with outlining
the terms and conditions of your loan agreed to
between you and your lender, as well as the
agreement between you and the seller regarding
the transfer of the property.
See the section
on Closing Costs for a detailed list of the
numerous one-time fees that are associated with
obtaining a mortgage. Who pays what can be a
factor in negotiations with the lender and the
seller. Check your final lists of
closing costs
with your copy of the good faith estimate
provided to you when you first applied for the
loan, and be sure to question any changes or
additions. You can also obtain a preview sample
of the HUD-1 Settlement Statement on the HUD
website.
Remember to have
separate certified checks for each closing cost,
since some, like the points, are tax deductible.
A final
walk-through inspection is typically scheduled
24 hours before closing to make sure that
property has been vacated properly and that
there are no major problems. If necessary, you
can request a delay on the closing until any
issues have been resolved, or request for money
to be credited from the escrow account to cover
the cost of repair.
Mortgage Glossary2
