5 easy-to-miss documents every buyer should take away from closing
Customarily, every buyer receives a copy of the deed, Closing Disclosure/HUD, condo approval, mortgage and note. But there a few additional documents that are not automatically part of the closing package copies that can benefit a buyer to have available after closing. Having a record of these papers in the buyer’s closing file can save both time and money post-closing.
Here they are and why:
Survey and elevation certificate WHY? Survey copies are important for any future refinance or for a future sale and having the prior survey can avoid incurring the same expense, especially when no material changes have been made to the property. The survey outlines the property boundaries and access and will be needed for any additions or capital improvements (i.e. pool) as well. Having a survey on file will save the owner an average of $350-$400. See sample survey
Title commitment WHY? This crucial document is the title company/attorney’s road map for the closing. This gives the title company specific instructions on what has to be done prior to closing. This is what the Owners Title Insurance Policy will be based on and can be needed for future reference, if title issues arise. See sample title commitment
Lien search WHY? This document reports code violations/open permits, water balances and municipal liens. This is a good reference document to have as to where things stood at time of closing. See sample lien search
Condominium/Homeowner Estoppel Letter WHY? This document is provided by the Condo /HOA Association to the title company to provide information on maintenance fees, past due balances, special assessments and other pertinent information. This can be used by new owners as the starting point for their own accounting and discloses important information about the association. See sample condo/HOA estoppel letter
Assignment of parking space (for condos only, if applicable) WHY? This document is prepared by the title company and is signed by buyers and sellers at closing. The assignment provides a meeting of the minds on what parking space /storage number is assigned to the unit. Many parking spaces were used without association consent during the recession due to absentee owners and new buyers have found themselves with spaces that were not the sellers to give. See sample Assignment of parking space
The above documents combined with the standard closing copies will give buyers all the tools they need to handle any post closing questions or issues that arise.
For more information on closings or title insurance, please call 305-521-2080 or [email protected]
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