Few days are as important in the homebuying process as the closing. That’s because it’s the day when ownership of the property is officially transferred from the seller to the buyer. You get the keys and all the joys that come with homeownership.

If you are new to the process, here are a few things you can expect:

~ Your real estate attorney or closing agent will conduct the meeting. His or her job is to explain the various documents, collect and disburse funds and handle the required paperwork.

~ You will be asked to review and sign several documents at the closing. The first is usually a settlement sheet. This statement outlines who has paid what to whom and is signed by both parties.

~ Financing documents are reviewed and signed. This includes specifics on your down payment and mortgage. The Truth In Lending Statement will outline your interest rate, amount borrowed and schedule of payments. Review it carefully. At this time proof of homeowner’s insurance must be given. Copies of inspection reports may also be required.

~ Now it is time to hand out the money. At the closing you present a check for the down payment (minus any previous deposits), as well as a check from the bank or lender covering the balance of the sale price.

~ Both the buyer and seller provide payment for closing costs. Usually paid by certified check, this money covers various expenses including title insurance, origination fees, and filing costs, to name a few.

~ You may be asked to sign an escrow document. This establishes a reserve account that allows your lender to hold funds for the payment of property tax, homeowner’s insurance and other expenses.

~ After these steps and the signing of other important documents, the seller hands over the keys. They may also provide paperwork related to the home, like manuals, warranties and important phone numbers.

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