LET’S CLOSE ON YOUR HOUSE
I hope this has been a fast and easy process for you so far. As a courtesy, I have compiled some common questions as we get near the closing table to get ready to close on your property.
Q: HOW LONG UNTIL WE HAVE A CLOSING DATE?
After reviewing the papers I will send our signed Agreement to the title company so they can do a title check on the property and a lien check on you, the seller. I will ask the title company when their soonest available closing time is.
Once I get a time range I will contact to make sure it fits your schedule. I will also give you the title company’s contact info in case you have questions for them and the address of where the closing will be.
Q: WHERE ARE WE CLOSING & HOW LONG WILL CLOSING TAKE?
I will give you the title company’s contact info once I verify they can close according to our schedule. There are only about seven documents you will sign: i.e. the deed, sellers disclosure, name affidavit, … in all, our closing should take about 30 minutes.
Q: HOW MUCH IS SELLERS SHARE OF CLOSING COSTS?
Here are the estimated Seller’s costs of closing:
Document Prep….100.00
Survey Credit…….250.00
Title Insurance…..352.00
Closing……………….80.00
Attorney Fees……..50.00
Recording fees……45.00
Mortgage Release…0
Taxes proration…..see below
UNDERSTANDING PROPERTY TAX PRORATIONS
Prorating property taxes can be a complex subject, and costly if not done accurately. That is why I rely on the experts on my team at the Title Company. To help you understand
Indiana property taxes prorations here is a quick summary.
Indiana property taxes are paid in arrears. This means that when property taxes were due in May and November of THIS YEAR, you were actually paying for when you lived on that property in LAST YEAR.
Property tax prorations include any unpaid taxes for the previous year plus the prorated amount for the current year. Taxes are typically paid to the County Treasurer on May 10th and November 10th.
You will see the tax proration as a line item on the settlement sheet when we close. The seller of the property pays taxes from New Year’s Day until the date of the transfer. The buyer assumes responsibility for payment from the transfer date going forward.
PRORATED TAXES EXPLAINED IN 90 SECONDS
What to Calculate Your Prorated Tax Amount?
Here is a Prorated Tax Calculator free for use.
CLOSING DELAYS
The biggest problems often occur after the file is submitted to the mortgage underwriter. Little is worse for sellers than sitting on moving boxes or paying two mortgages not knowing if a loan will be approved by an underwriter. The last few days of closing can be very suspenseful. Fortunately, I am a cash and contract investment buyer so you won’t have those problems.
But there still can be snags that I can’t not prevent that can delay a closing:
• New liens or judgments filed against the buyer or seller upon title update.
• Clouds on title.
• Marital status or name change of seller not previously noted.
• Insurance information missing.
• Unforeseen inspection report.
Our contract is pretty comprehensive and my Housebuyer™ system prevents 99% of those fires before they even start. In the event something delays our closing both myself and my team will be contacted as soon as possible to rectify the matter.
FOR ANYTHING ELSE
Feel free to contact me for any question, no matter how small.
Otherwise I will contact you with some closing dates to fit your schedule after I talk with the title company.
Best Regards,
Scott
Housebuyer™
