Closing

You've found an affordable house you like, you've signed the sales contract and you've called the movers. You think the hard part is over, right?

Not necessarily. The closing, typically held at a title and trust company, is the final hurdle to calling the house your home. The buyer and seller meet with brokers and lawyers to sign more documents than most first-time buyers have seen in their lives. When all goes well, the buyer leaves with house keys and a folder full of paperwork.

It can be more complicated than you might expect. But thorough preparation can minimize your chances of a rocky closing. Some tips:

Know what's included
Make sure you know exactly what is included with the house's purchase price. The buyer and lawyers should clearly spell out in the sales contract "conditions and content" of the property. A good rule-of-thumb for a buyer is: Assume nothing. Bookshelves, drapes, custom lighting fixtures, fireplace screens, garden ornaments, outdoor barbecues and backyard play equipment are among the items that the seller will likely remove unless otherwise specified. The parties should resolve these details when they first sign the sales contract. A final walk-through can end in havoc if a buyer wrongly assumes that the dining room chandelier comes with the house.

Other issues that should be agreed upon in advance include accurate information on real estate taxes, survey fees, possession date and homeowner's insurance.

Satisfy loan conditions before closing
Be sure to satisfy any conditions attached to a loan approval before the closing. Banks sometimes issue a preliminary approval pending the various credit, debt and resource checks. An unresolved late payment on a credit report could forestall the loan approval and delay the closing. For this reason many buyers check their own credit reports and/or get preapproved for the mortgage before looking.

Know your fees
Know what fees are expected at the closing, and in what form they must be presented. Typically, title companies require certified or cashier's checks, rather than personal checks, for any additional costs that may be due at the closing. An unprepared buyer might have to run to the bank to cash or certify a personal check, midclosing. If the seller refuses to wait, both sides may sign all the documents and then delay the closing. Then the buyer can later produce the funds and take possession of the deed without assembling the other participants.

Agents and attorneys
Pick your real estate agent and attorney carefully. They are responsible for the details of the deal, and the more meticulous they are, the smoother your closing will be. Large real estate companies often have "transaction departments" that deal specifically with the sales process from contract signing to closing. Some real estate attorneys request that other parties fax them necessary documents to make sure they've been executed properly prior to the closing.