Closing Process
How to Prepare for Real Estate Closing: A Complete Checklist
Real estate closing is the final step in a transaction — where title transfers, funds change hands, and keys are delivered. Proper preparation prevents last-minute surprises that can delay or kill a closing. This checklist covers everything buyers, sellers, and agents need to confirm in the days leading up to closing.
Buyer Closing Checklist
Review Closing Disclosure (CD) provided 3 business days before closing
Compare CD to Loan Estimate — flag any fee increases above tolerance limits
Confirm wire transfer instructions directly with title company (call, don't email)
Bring government-issued photo ID (passport or driver's license)
Bring cashier's check or confirm wire transfer has been sent
Conduct final walkthrough 24–48 hours before closing
Verify all agreed repairs are completed (get receipts)
Confirm utilities are set to transfer or initiate on closing day
Bring social security number for closing documents
Confirm HOA transfer documents and welcome packet are ready
Seller Closing Checklist
Confirm all agreed repairs are completed and documented
Cancel homeowner's insurance effective closing date (not before)
Notify HOA of sale and confirm any balance owed is paid
Obtain payoff statement from lender and confirm it's valid through closing date
Prepare keys, garage door openers, gate codes, and appliance manuals
Leave property broom-clean per contract requirements
Forward mail and update address with USPS, banks, and subscriptions
Bring government-issued photo ID
Confirm where proceeds wire will be sent (provide bank info to title company)
Cancel or transfer utilities effective closing date
Closing Day FAQ
What is a final walkthrough and is it required?
A final walkthrough is a buyer's right to inspect the property one last time before closing — typically 24–48 hours prior. It confirms the property is in the agreed condition, agreed repairs are completed, and no damage occurred after inspection. It is not technically required but is strongly advisable. If issues are found, closing can be delayed or funds can be escrowed for repairs.
What is the Closing Disclosure and why is it important?
The Closing Disclosure (CD) is a 5-page standardized federal form detailing all final loan terms and closing costs. Lenders must provide it 3 business days before closing. Review it line by line against your Loan Estimate. Under RESPA/TRID rules, certain fees cannot increase from the LE ('zero tolerance' items). Flag any increases and demand explanation from your lender before closing.
Can closing be delayed at the last minute?
Yes — common causes: lender issues (last-minute loan condition, appraisal dispute, income verification), title defects discovered, seller doesn't complete agreed repairs, buyer fails to wire funds, or one party needs more time. Most delays are 1–7 days and resolved without canceling the deal. Build flexibility into your plans around closing day.
What is a dry closing vs. a wet closing?
A wet closing is the most common: all documents are signed, funds are disbursed, and keys change hands on the same day. A dry closing is when documents are signed but funds and keys are not transferred until a later date — sometimes needed for legal or financing reasons, more common in some states (CA, HI, OR, NV, AZ). Know your state's norm.