Once you find a new Massachusetts home, you may find the deadlines and amount of paperwork necessary to make a successful bid a daunting prospect. Here are some tips that can help you make the closing process go as quickly and smoothly as possible.
According to the Commonwealth of Massachusetts, missed deadlines and missing documentation can delay the closing of your new home and potentially cause you to lose out to another buyer.
Deal with the finances up front
Before attending open houses or making appointments with a real estate agent, you should get preapproved for a mortgage. This can help you determine how much you can spend on your new home. Sellers know that when their home meets your budget, the closing can move quickly. It can also give you an advantage over other potential buyers without preapproval.
Lock in the mortgage rate with your lender, otherwise, the rates may rise during your search, and you may no longer qualify for the mortgage loan. Many programs lock in the rate for up to 90 days.
Review the closing documents carefully
The closing disclosure provides the final mortgage loan details. It includes fees, closing costs, loan terms and the projected monthly payments. These documents typically arrive at least three days before you close, giving you time to speak with the lender and the real estate agent before you commit to the property. Closing costs run 3% to 5% of the loan amount. They often include title insurance, taxes, attorney fees and appraisals.
Have questions about the paperwork required for real estate transactions? Learn more about real estate closings here.