Buyer Settlement Checklist:
Buying and selling a home can be a very stressful process for all concerned. If the seller, the buyer, the listing agent and the buyer agent all work together as a Team in executing on the contract milestones, the process will be smoother, less stressful and a more pleasant experience for all concerned. Our goal on The R&R Team is to provide you with hands-on assistance so as to make the execution of your contract as smooth and stress-free as possible. This checklist outlines the responsibilities of the buyer realtor (selling agent) and the buyer in this process.
Buyer realtor (selling agent) responsibilities:
- Track all major contract milestones for the buyer to ensure all required contract inspections and contingencies are completed on time or are satisfied per the contract (will keep buyer advised via emails and telephone with updates and completion status). All events involving visits to the property will be fully coordinated and scheduled by the buyer realtor (selling agent) with the listing agent and the seller. The buyer realtor (selling agent) will advise the buyer of protocols involving buyer presence at or absence away from the property for each visit.
- Schedule and conduct home inspection by assisting buyer with selection of a home inspector and scheduling/coordinating the home inspection. Participate in the home inspection, review the inspection results with buyer and forward applicable addenda to seller to ensure needed home inspection repairs and known walk-through items are addressed and corrected prior to closing.
- Acquire HOA or condo docs from seller for buyer via listing agent. Assist seller as required in reviewing the documents and processing any needed contract addendums to ensure any cited HOA or condo architectural violations are addressed and corrected prior to closing.
- Schedule and conduct termite inspection if buyer responsibility (or ensure listing agent schedules and completes this inspection if seller responsibility) and acquire copies of inspection report for forwarding to buyer, mortgage company and settlement agent). Ensure that any required treatment(s) for wood destroying insects are completed and documentation certifying treatment(s) of same are provided.
- Acquire settlement company questionnaire and assist buyer in completing same.
- Acquire a copy of property house location survey plat and owners title insurance policy through listing agent and forward same to send to settlement company with the completed questionnaire. Copy of plat may save the buyer the expense of re-doing a survey and a copy of the owners title insurance policy may get the buyer a 30% discounted reissue rate on the purchase of their new owners title insurance policy.
- Schedule settlement date/time for buyer with settlement company and coordinate same with listing agent.
- Acquire from settlement company a draft closing disclosure from the settlement company and review with buyer before closing.
- Ensure an appraisal is ordered by mortgage company and advise listing agent of same.
- Acquire advanced copies of vendor repair invoices/receipts from listing agent for buyer prior to final walk-through inspection.
- Conduct final walk-through inspection with buyer and document same for buyer and seller signatures. Negotiate on behalf of buyer any unresolved repair issues.
- Complete home warranty policy application for buyer, if contractually required, and bring the invoice to closing.
- Acquire check from broker and bring same to closing if needed to offset any surplus net commission proceeds that may be due the listing agent brokerage from buyer earnest money deposit held in escrow.
- Attend the settlement and advise/assist seller as needed.
- Coordinate all post-settlement occupancy agreement/ rent-back actions, if applicable, for buyer with listing agent after closing, including the final post-closing inspection and release of security deposit held in escrow after seller move-out.
- Sign/ initial and return required contractual documents and provide requested information/ documentation to buyer realtor (selling agent) in a timely manner.
- Select/hire a home inspector through buyer realtor (selling agent) and participate in the home inspection.
- Select/hire a termite inspection company, if buyer responsibility in the contract, or this can be done through the buyer realtor (selling agent).
- Participate in the pre-settlement final walk-through inspection (and post-settlement inspection if a post-settlement occupancy agreement/ seller rent-back applies after closing). Buyer realtor (selling agent) will schedule/coordinate the inspection(s).
- Open utility accounts: Buyer should schedule meter readings and have accounts opened effective the date of closing by calling the utility companies approximately one week before the closing date. Utility contact info is available at http://www.therandrteam.com/47.php.
- Buyer needs to bring the following to closing (as applicable):
- Picture identification (such as drivers license or passport) for each seller signatory at the settlement.
- Personal bank account checkbook to be able to write a check to pay for any last-minute adjustments to the draft HUD-1.
- Original public notarized and copy(ies) of applicable power-of-attorney documentation if one or more of the buyers cannot attend settlement. Power-of-attorney documentation must be reviewed and approved by the mortgage company and the settlement company prior to settlement and an original notarized copy of the power-of-attorney document must be provided to the settlement agent at closing. The settlement company can assist in drafting and notarizing power-of-attorney documents and this must be completed in advance of the closing date.
- Official bank check(s), cashier check(s) or certified funds in an amount required for closing made to the benefit of the settlement company per the latest draft HUD-1 from the settlement company or good faith estimate from the mortgage company. NOTE: Assignment of proceeds from another property sale may be applicable and monies from that sale may be wire transferred, as required, in lieu of providing a check for certified funds at this settlement. The settlement company that completed the sale of you previous home should provide you with an assignment of proceeds letter and this must be presented to the settlement agent at closing on your new home.
- Original copy of hazard insurance policy for home being purchase, plus original invoice receipt for first-year policy payment, as required by mortgage company (insurance company may forward this direct to mortgage company. Please check with mortgage company to ensure this has been arranged or has been completed to the satisfaction of the mortgage company).
- Copies of any other documentation required by the mortgage company or the settlement company. Settlement company processor, mortgage lender or buyer agent (selling agent) should let you know about any such requirements.
If you have any questions or need further assistance, please call 703-625-5586 or send us an email.
The R&R Team, Inc.