Pre-closure: I see the light!

After you get through these steps, the rest of the transaction should be fairly smooth. The title company will be running a full title search and your lender will be working towards loan approval. Since you’ll be preparing for closing, you still may have some more paperwork to review or fill out:

Title Commitment

This discloses any liens or defects that affect your future home. You will receive this document a couple weeks before closing. Make sure to look through the document completely, paying special attention to:

  • Schedule A of the title commitment. This identifies the current owner and the legal description.
  • Schedule B of the commitment. This identifies if there are any easements, mineral reservations, and restrictions that won’t be covered by your policy.
  • Schedule C of the commitment. This lets you know if there are any requirements that you must meet prior to closing. Common examples include paying off liens or resolving ownership problems.


Homeowners Insurance

I always encourage my buyers to get homeowners insurance. It’s a fairly low expense, of which the seller will usually pay a small portion. If your personal property is damaged or destroyed by an event covered by your policy, homeowners insurance will pay for your losses.