Important Information About Mortgage Documents Before Closing On Your House
You must be excited if you are in the process of buying your first home. Closing in your house is the last stage in the process of purchasing a home. You will be the owner of your own home if you finally get through this stage. For you to smoothly close on your home, it is essential to have these mortgage documents with you. Closing disclosure is one of the papers that you will need to first review with your closing agent. This document contains the details about the costs of buying your home. Real estate taxes and loan fees are the kinds of these costs details among others. A loan estimate form is another document you have to be prepared with.
Every critical aspect of your investment are contained here. After asking for a loan, you should be able to get this from within a few days. On that closing date, you need to take some time and consider both the closing closure and the loan estimate documents. Another important document is the promissory note which contains your pledged for repaying the loan and the legal evidence of your mortgage. In case you fail to repay your mortgage as agreed, this documents contains information about the kind of penalties that you will have to face.
Another report that also serves as an instrument of security is the deed of trust. By signing this document you will agree that your home will act as the security for the loan. By signing this document, you will generally be agreeing that if you do not repay your loan, the lender can proceed to foreclose on your house. The other report that also confirms that a new house is constructed according to the rules and the systems of the country is the certificate of occupancy. You will be issued with this document at the local department of the building. If you are purchasing a new home that is only time that this will be applicable.
Before you can close on your house, homeowners insurance is also needed. You need to have the record that shows you have already insured the more you want to buy before closing on it. You should also have a home inspection report with you. The purpose of this document is to verify that the home you want to buy is safe for holding. Another important mortgage document that you should have is your identity card. The names on your identity card should match the ones on all the other mortgage documents that you have.