You've made it through the home search, written an offer, completed due diligence, reviewed the inspection report, and worked through the decisions that came along the way.
Now you're getting close to closing day.
This is the point when buying the home may finally start to feel real. You may be thinking about moving, packing boxes, changing your address, and—of course—getting those keys. 🔑
But there are still several important things happening behind the scenes before the home officially becomes yours.
Your lender may be completing final loan requirements. You'll need to review your final loan numbers and closing costs. Your homeowners insurance may need to be in place. You'll want to complete a final walk-through of the property. And there will be documents and funds that must be handled as part of the settlement and closing process.
There's also something important for North Carolina buyers to understand:
Signing your documents doesn't necessarily mean the closing is complete or that it's time to take possession of the home.
In North Carolina, settlement and closing are related, but they aren't exactly the same thing. We'll explain that distinction later in this guide so you understand when the transaction is actually complete.
The last few days before closing can feel busy, but knowing what's happening—and what you should be paying attention to—can make the process much easier to understand.
Let's walk through what may happen as you approach the finish line.
Your Lender Is Finishing the Loan Process
Your mortgage process isn't finished just because your offer was accepted or the appraisal has been completed.
As you get closer to closing, your lender may still be working through the final steps needed to approve your loan for closing.
Depending on your loan and circumstances, your lender may ask for updated documents or additional information. This could include things such as recent bank statements, pay stubs, explanations about deposits or other financial activity, or documentation related to your employment.
That's why it's important to continue responding promptly when your lender requests something.
This is also not a good time to make major financial changes without first talking with your lender.
Before closing, avoid assuming that your loan is completely finished just because you've already been preapproved or received earlier approval. Changes to your finances could potentially affect your loan.
Before you:
- Open a new credit account
- Finance furniture or appliances
- Buy or lease a vehicle
- Make a large purchase using credit
- Move large amounts of money between accounts
- Change jobs or make another significant employment change
Talk with your lender first.
That doesn't mean every financial change will create a problem. It means your lender is the appropriate person to tell you whether a particular change could affect your financing or whether additional documentation may be needed.
The goal during these final days is simple:
Keep your financial picture as stable as possible and stay in communication with your lender until the loan is ready for closing.
Review Your Closing Disclosure Carefully
If you're financing your purchase, one of the most important documents you'll receive before closing is your Closing Disclosure.
The Closing Disclosure shows the final details of your mortgage loan, including your loan terms, projected monthly payments, and the costs associated with closing.
For most mortgages, your lender must provide the Closing Disclosure at least three business days before closing. That gives you time to review the information before you're sitting at the closing table.
Don't simply open the document, glance at the amount due, and assume everything is correct.
Take the time to review it carefully.
Pay attention to things such as:
- Your loan amount and interest rate
- Your estimated monthly payment
- Closing costs and other charges
- Credits or adjustments shown on the disclosure
- The amount of money you'll need to bring to closing
You can also compare your Closing Disclosure with the Loan Estimate you received earlier in the mortgage process. If something has changed or you see a charge you don't understand, ask your lender or settlement professional about it.
And if the amount you need for closing is different from what you expected, don't wait until closing day to ask why.
The purpose of receiving this document ahead of time is to give you an opportunity to review the final numbers, ask questions, and understand the financial details of your loan before you sign your closing documents.
You should know what you're agreeing to before you sign it.
For buyers who want additional help understanding the document, the Consumer Financial Protection Bureau's Closing Disclosure explainer walks through the form section by section.
Prepare Your Funds for Closing
As closing approaches, you'll also need to know how much money you're expected to bring and how those funds should be delivered.
Your lender and closing attorney or settlement professional should provide instructions about the amount you'll need and the acceptable method of payment.
Depending on your transaction, the amount may include your down payment, closing costs, prepaid expenses, and other amounts due at closing, minus any deposits, credits, or other adjustments that apply.
But there's something especially important to remember:
Be extremely cautious with wiring instructions.
Real estate transactions are a target for wire fraud. Criminals may attempt to impersonate a real estate agent, lender, attorney, title company, or another professional involved in the transaction and send fraudulent instructions telling a buyer where to wire their closing funds.
If you receive wiring instructions—or receive a message saying previously provided instructions have changed—do not rely solely on the email, text message, or contact information contained in that message.
Instead, verify the instructions directly with the closing attorney or settlement professional using a trusted phone number you obtained independently or have previously confirmed.
Never assume last-minute changes to wiring instructions are legitimate.
And don't wait until the morning of closing to figure out how your funds need to be delivered. Ask ahead of time:
- How much will I need?
- How should the funds be delivered?
- When do they need to arrive?
- Who should I contact if I have questions about the instructions?
Your real estate agent can help you keep track of the process, but the professional receiving the closing funds should be the one to confirm the payment and wiring instructions.
A few minutes spent verifying those instructions can help protect a very large amount of money.
Make Sure Your Homeowners Insurance Is Ready
If you're financing your home purchase, your lender will generally require homeowners insurance to be in place as part of the closing process.
But don't think of insurance as something to handle at the very last minute.
Ideally, you'll begin shopping for coverage earlier in the transaction so you have time to compare options, understand the cost, and address any questions that come up.
The cost and availability of homeowners insurance can vary based on the property and the coverage you're purchasing. That's one reason it's helpful to investigate insurance before you're sitting at the closing table.
As closing approaches, stay in communication with both your insurance professional and your lender to make sure any required insurance information has been provided.
And remember that standard homeowners insurance and flood insurance aren't the same thing. Depending on the property's location, your lender may require separate flood insurance, and buyers may also choose to investigate flood risk and available coverage even when it isn't required.
If you're unsure what coverage you need, ask your insurance professional and lender rather than making assumptions.
The important thing is:
Know what coverage is required, understand what you're purchasing, and make sure everything is ready before closing.
Complete Your Final Walk-Through
Before closing, you'll typically have an opportunity to complete a final walk-through of the property.
This isn't another home inspection.
Instead, it's your opportunity to take another look at the home before closing and make sure its condition is generally consistent with what you're expecting.
During the final walk-through, you may want to pay attention to things such as:
- Whether the property appears to be in the expected condition
- Whether the seller has removed their belongings as agreed
- Whether items that are supposed to remain with the property are still there
- Whether agreed-upon repairs appear to have been completed
- Whether anything appears to have changed significantly since you last saw the property
If repairs were negotiated after your home inspection, this is also an opportunity to check on those items.
However, as we discussed in the inspection lesson, the final walk-through isn't necessarily a substitute for having certain repairs re-inspected or evaluated by an appropriate professional when that's warranted.
If you notice something during the walk-through that concerns you, tell your real estate agent before closing.
Don't assume you have to ignore it because closing is only hours away, and don't assume you already know what the solution will be. Your agent can help communicate the concern and determine what additional steps or professional guidance may be appropriate.
The final walk-through isn't about looking for reasons not to buy the house.
It's about giving you one final opportunity to look at the property before completing the purchase.
Signing the Papers Doesn't Necessarily Mean You Own the Home Yet
Closing day is exciting. You may meet with the closing attorney or settlement professional, review documents, sign paperwork, and complete the final steps required of you.
After signing all those documents, it would be natural to think:
“That's it! The house is mine. Where are my keys?” 🔑
In North Carolina, though, there's an important distinction between settlement and closing.
Settlement generally refers to the point when the required documents have been signed and delivered to the settlement agent along with the funds needed to complete the transaction.
Closing involves additional steps after settlement.
Those steps include updating the title, the settlement agent receiving authorization to disburse the necessary funds, and recording the deed and any applicable deed of trust.
Why does that matter to you as the buyer?
Because signing your documents doesn't necessarily mean the deed has already been recorded or that you're entitled to take possession of the property yet.
For example, if documents are signed late in the day and the deed can't be recorded until later, you shouldn't assume that you can simply take the keys and move in. The North Carolina Real Estate Commission specifically cautions brokers not to give a buyer keys or possession before closing without the seller's express permission.
Your closing attorney or settlement professional can let you know when the necessary closing steps have been completed, and your real estate agent can help coordinate communication about possession and the keys.
So after you've signed everything, there may be one more thing to do:
Wait for confirmation that the transaction has actually closed.
Then comes the moment you've been waiting for. 🏡🔑
You Made It to the Finish Line!!
Buying a home involves a lot of moving parts.
There are lenders, inspectors, attorneys, insurance professionals, real estate agents, documents, deadlines, decisions—and probably a few moments along the way when you wonder whether you'll ever understand all of it.
You don't have to.
Throughout Homebuying Made Clear, we've talked about how to think about what you can comfortably afford, what your lender may ask for, the costs you may encounter before closing, the role of your real estate agent, how to approach an offer, what happens during due diligence, how to understand your inspection report, and finally, what happens as you approach closing.
The goal was never for you to memorize every step.
The goal was to help you understand the process well enough to recognize what's happening, know when to ask questions, and understand which decisions belong to you.
Because throughout the entire homebuying process, one thing hasn't changed:
You're the decision-maker.
The professionals around you each have different roles and areas of expertise. They can provide information, answer questions, explain options, and help you navigate the transaction.
But you're the person buying the home.
So ask questions when something doesn't make sense. Take the time you need to understand important decisions. Rely on the appropriate professionals when you need specialized guidance. And don't be afraid to say, “Can you explain that to me?”
That's exactly what you're supposed to do.
And when the transaction has closed and those keys are finally in your hand, you'll have done much more than buy a house.
You'll understand a lot more about how you got there. 🏡🔑
Have Questions About Buying a Home?
If you're thinking about buying a home in Greenville or anywhere in Pitt County, you don't have to figure out the entire process before you begin.
Whether you're ready to start looking at homes or you're still months away and simply trying to understand your options, I'd be happy to answer your questions and help you understand what your next step may look like.
Denise Davis, REALTOR®
Fresh Start Realty
Serving Greenville & Pitt County, North Carolina
📞 Phone: 252-902-9006
✉️ Email: denisedavis@pittcountyliving.com
