Funding Your Loan
After you have found a property and had an accepted offer, and secured your mortgage financing you are ready to buy! When the lender is ready to "close" your loan, or "fund" it, your real estate agent and your mortgage broker will have you sign the final loan documents. Signing will typically take place in front of a notary or an escrow officer. There will be much communication from your broker before this time but double-checking by asking your mortgage broker if there is anything you need to do to prepare for this.
For example, most brokers will ask to see and photocopy your photo ID at closing. Most often, personal checks are not accepted at closing, thus a cashiers’ check will be needed if you are purchasing real estate. If purchasing property with cash, funds must be wired to the sellers’ financial representative before closing can occur. Mortgage professionals are efficient and explain briefly the documents you are signing. However, allow yourself enough time to review the documents for accuracy and feel comfortable signing them. Ask for more clarification if need be.
If funds are being wired: "Wiring instructions" direct the electronic transfer of money between financial companies. If possible, arrange to have the wiring instructions in place ahead of time and checked for accuracy by both the sender and recipient of the wire. It is critical that these instructions be exact, and even so, delays are all too common.
Your mortgage broker will probably call you to confirm that the money has been transferred and the loan has fully closed. Always follow up with a phone call to confirm that your loan funds went where they were supposed to go. It is a good idea to keep records of this critical phase of the transaction once it is completed.