A Comprehensive Checklist for Home Sellers After Closing
When you are selling a home and have accepted an offer, it can feel like a big milestone has been reached. The job might seem done, and it is time to celebrate. Don’t pop the champagne before you cross off all the items on this closing checklist. Closing on a home sale can be far more work than one expects going into it, but this final phase will represent the legal transfer of your property’s title to the buyer, including negotiations on final terms, tying up loose ends, and executing the financial transaction. There are hoops to jump through before you can close.
In this article, we will take a deep look at the checklist for home closing tips for sellers.
Preparing Yourself for Closing
To solidify an offer, you have to sign a purchase contract. This legal document will detail all the terms of the agreement, like who will keep the home appliances, the amount of money that the buyer is putting down, the inspection period for the buyer, and the closing date. When both parties sign the contract, an earnest effort to meet the agreed-upon deadline will take place. In many cases, the first order of business will be a buyer-arranged home inspection. Sellers can choose to have their homes inspected before the buyer’s inspection takes place, particularly if there are potential repairs that need to be made. If a buyer requests repairs be made based on the results of their inspection, you will have to sit with your real estate agent and work on negotiating these repairs. Ensure that you speak with your agent to determine what is best and fair for your situation.
Once over all the hurdles of negotiations, you will want to make sure that the following preparations take place for the closing day:
- Clean, clean, clean. Tidy up your home a final time, and take care to check all drawers and closets for items that might have been left behind.
- Get all Documents Together for Appliances and Other Items. Make sure that you have all of your documents gathered from manuals, warranties, roofing, receipts for appliances, heating & cooling, plumbing, and more.
- The Water Valve. Make sure to shut off the main water valve to the property.
What Sellers Should Bring to Their Closing
It is finally time to seal the deal. In anticipation of the closing, make sure that you go through a list of items that are needed to ensure that everything is available.
- Photo ID. The seller(s) on the home contract should have their photo identification available.
- Security Codes & Keys. The seller needs to provide all security codes and keys to the home, as well as any remotes for appliances such as the HVAC system, garage door, etc…
- Utility Bills. All final utility bills should be paid.
- Cashier’s Check. The cashier’s check will be used to cover closing costs if you did not wire the money beforehand.
- Personal Checkbook. The personal checkbook should be available in case there are unforeseen costs that need to be taken care of.
- Proof of Repairs. Proof of repairs should be made per the home inspection.
Double-check with your agent before closing day to confirm that the above items are all you need at the meeting. All other important documents required for the meeting, including the closing statement, deed to the home, and seller disclosures, will be handled by the real estate agent. At the closing, you and your team will sit with the buyer and their agent to sign all the important paperwork and settle all the closing costs.
The Seller’s Expenses at Closing
Apart from the remaining mortgage balance, sellers can always expect to pay between 5-10% of the total home sale price in the closing costs. This will include the following:
- Commission for real estate (3-6%).
- Utilities, insurance, and taxes.
- Title, escrow, and attorney fees.
- Warranty payments.
- HOA dues.
The expenses are typical, but not all are included. Depending on the details of the sale of your home, you have additional paperwork to sign or any fees that need to be paid. This is an area where your real estate agent will take the reins and let you know what is going to be required.
A Seller’s Final To-Do List
When your home’s closing is complete, it is finally time to wrap things up. In this phase, you should have a package of closing-related paperwork to file away, along with a check for all the proceeds of the sale. You might be wondering what is next. This list we have compiled is your final to-do before saying goodbye to your former home.
- Change of Address. You will have to notify businesses, utilities, and persons of your moving, and update your address with the post office.
- Cancel the Homeowner’s Insurance Policy. This should be done after the title has been transferred, and if you have prepaid you can receive a fund.
- Cancel Utilities. You need to call ahead of time to cancel all of your utilities.
Bottom Line
No matter where you are in the selling process, this article is here to help. It is smart to get in contact with your real estate agent well in advance of your closing to ensure that the coverage between your current policy and the new policy is seamless and that you have the ideal protection required when closing on your home. Trust the real estate professionals at Palm Beach Coastal Realty to guide you in finding and settling down in the home of your dreams in the many beautiful luxury neighborhoods that make up Palm Beach County, Florida, today.