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When did you sign the initial application? I ask because the new GFE did not take effect until January 1 and it is still possible that your lender will be using the old GFE.
Doesn't really make a differnce in getting a copy of the HUD-1 settlement statement though. Being that from what you said you are Clear to Close a copy of the fully approved (lender, loan officer, buyers agent, and sellers agent have reviewed on behalf of the parties they represent or are working with and agree with the figures) should be made available to you 1 day before closing.
The only reason that you would get it a few hours before or at the clsoing table is if it was prepared the morining of closing and there is no reason for that with a week to go.
Hmm, well we signed the initial application sometime in October, when we made an offer on a house (but walked away from due to inspection issues). But I believe we had to sign things again and lock into a new rate when we made an offer on the current house a few weeks ago (in January); would that make a difference?
I believe yes, we are clear to close, and we should be getting a phone call from escrow in the next 48 hours to arrange a signing time/date. My understanding is that we sign this week, but they don't send the docs to the County Register until Monday--which is our official closing date. I am a bit confused by the difference between the signing date and the closing date, and when we're supposed to get this prelim settlement... agent implied it was a few hours before signing, and broker said it was at closing. So I don't know what to think.
If the GFE and the prelim are really going to be identical, then it seems I shouldn't worry about this. But if they aren't, then yes, I would like to compare them for peace of mind, anyway.
I sat the past two Fridays for three hours waiting for the final approval on a HUD-1 (with plenty of notice). The only issues were where the line items would go, not what they were. I hate to play Chicken Little, but these were distinctly different banks and title companies. Both sets of clients were dealing with one last employment confirmations during walk-through. Though I understand that these aren't directly HUD-1 issues, I'm not anticipating Clear to Close a day ahead of time either! herding cats ...
It's always good to still have your GFE with you to compare as sometimes it takes the third or fourth person to look at something to catch a mistake. We're human.
In my area, it's very typical to see the HUD about an hour prior to closing. Just in time for a buyer to get the cashiers check from the bank. Not sure why your signing date and closing date would be different unless the closing was a "mail out" to the other party.
Okay, so let me make sure I understand correctly: most likely, I will not get a copy of the preliminary settlement until we are actually at the escrow office signing the docs. So is it perfectly acceptable for us to bring in the GFE in one hand, sit down and compare it with the preliminary for as long as that may take (as well as reading through each document), and no one will rush us? Sometimes I feel like the people who stand to benefit from this closing (Realtor, broker) are trying to block us off from putting off the final decision any further--no one has said anything about a walk-through yet, either, and I can imagine my Realtor basically saying, "Why do you want to do that? You know you're going to get the house." Yes, I know we are going to get the house, and I want the house, but I want to make sure that all the appliances are there, etc. etc.
I also don't understand why our signing and closing date will be so different... I mean, I understand if the closing date is written in stone on our Purchase & Sale Agreement, and maybe the broker just got our loan through way faster than we expected (it's only been 10 days since the end of our inspection period), so that's why there's a difference? But what do we do on the days between the signing and the closing? (Our Realtor told us escrow would be calling by to set an appointment before Friday--we close Monday.) What else would explain this difference?
You are working with the new GFE so nothing about the lender or broker compensation can go up 1 thin dime. What can change is anything else on the GFE with the exception of services( closing agent, inspections, etc) from the service provider list you got from your LO. If the LO or lender did not choose the service provider there are no guarantees on changes to fees.
As far as a timeline of events this week- as they should happen.
Tuesday- you are clear to close waiting for final verifications.
Wednesday- you are 48 hours before your scheduled Friday signing. Verification of employment must be done within 48 hours so calls go out today. Proper people are available this takes 2-4 minutes. Hey does John still work there as a software engineer? yes, great have a good day. If not available lender must wait for them to decide to call back- could be 15 minuted to several hours. The way I combat this is lunchtime 48 hours before I contact lender and ask if VOE has been complete and if they tell me no , waiting for a call back I ask from who and in what location. I will then call client and ask them to call Sally at the Washington office and ask her to return Joans call at ABC bank because my(clients speaking to coworker) closing will be held up without this call. It's amazing how quickly people move when contacted by someone internally.
Thursday- Instructions from lender go to closing agent to prepare HUD. Closing agent prepares HUD and distributes to LO and both RE agents for review before sending to bank for approval. Once bank sends back OK the LO will send on to client to review with them.
Friday- sign without question about whats on HUD-1.
Please understand that Clear To Close is not the same as Docs out. Clear to close means that client has provided all needed documentation for underwiting , they have been reviewed and accepted as well as underwriting the property(appraisal, title etc).
Docs out is when the instructions go from the lender to closing agent and what most people refer to as clear to close. You can see there are things that need to be done between these two steps.
For the difference between signing and closing dates- its one in the same here in NC. Recording at the register of deeds office takes place the same do as well.
Not to hijack this thread, but I have a question as well (my husband and I are three weeks from closing on our new house). At what point can we expect to get the final dollar figure due at closing? Hopefully at least 24 hours in advance? Just curious bc our bank is a good half hour away and we need to make sure we can get the check for closing in time....
Yes, you can bring in the GFE and sit down and compare. You can read whatever pieces of paper you want. From my experience, many times the escrow person isn't going fast enough for the buyer as they just want to sign and get out. EVERY form you sign is a standard form, so it's not like you can change it. The only difference between closings is the bold face type having your name and property address/legal description.
Many people think they want to read everything so they can "catch" something not agreed to, but that's only on the page that mentions the rate. Read what you want, but you'll get bored with that and just start signing... just sayin'...
Wow, this is great information... very detailed, thank you both!! I did hear my Realtor say something about Docs going out today, so perhaps that means our schedule will be moved up a day (signing Thursday rather than Friday). But then we still wait until Monday for the keys. So as I understand it, we should really only see if the service providers are the same as in the GFE and proceed from there. Sounds good. I don't really want to read every single page of stuff during signing, as I know I'll be very excited and wanting to get it done... I was just told by my uncle that if I wanted to pay an attorney to come in and review it all, I could. But why would that be necessary if all the docs are the same every time... nothing I should be wary of, right?
Also, you did nit mention the final walk-through in the timeline... when does that happen, usually?
Docs can go out 2 days or more in advance which is the ideal situation but not always doable. They may not move up your closing date but this will insure you adequate time to review settlemenet statement before going to closing.
The $ figure is determined by the preparation of the settlement statement so when it is complete is when you get the final number for cash to close.
The final walk through is not in the loan provcess but part of the buying process so your RE Agent should be able to answer that sepcifically fro each person, but from my experience it is either the morning of closing or the day before.
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Yes, I know we are going to get the house, and I want the house, but I want to make sure that all the appliances are there, etc. etc.
