Funding

Funding (aka – Closing on Your Home) The Signing

When the lender is ready to close on your home, or “fund” it, your real estate agent and your mortgage broker will have you sign the final loan documents. Signing will typically take place in front of a notary or an escrow officer. Ask your mortgage broker if there is anything you need to do to prepare for this. You will likely such as bringing a photo ID or perhaps a cashiers’ check if you are purchasing real estate. Allow yourself enough time to review the documents for accuracy. If funds are being wired: “Wiring instructions” direct the electronic transfer of money between financial companies. If possible, arrange to have the wiring instructions in place ahead of time and checked for accuracy by both the sender and recipient of the wire. It is critical that these instructions be exact, and even so, delays are all too common. Also be aware of wire fraud and take careful measures when confirming directions.

Congratulations!

Time to celebrate closing on your home! Your mortgage broker, agent or title company will call you to confirm that the money has been transferred and the loan has closed. Always follow up with a phone call to confirm that your loan funds went where they were supposed to go. It is a good idea to keep recorded of this critical phase of the transaction once completed. Also be aware that most lenders sell the mortgage off after closing. They “originate” the loan but may not be the “servicer”. Watch out for updates from the lender to ensure you send your first payment to the right place. For this reason, it is usually advised that you do not set up automatic payments for your mortgage until you know who you will be paying.