What Happens at Closing: A Checklist of Documents and Costs

What you'll see at closing

At closing, you'll sign documents that transfer the property to you and finalize your loan. The lender will give you a Closing Disclosure at least three business days before closing — this is the official summary of your loan terms, monthly payment, and all closing costs. You'll also sign a promissory note (your promise to repay the loan), a mortgage or deed of trust (the lender's claim on the property if you don't pay), and a deed (the document that transfers ownership from the seller to you). The title company or attorney will handle most of the paperwork, but you need to know what each document does and what numbers to verify.

Closing typically takes two to three hours. You'll sit at a table with the title company representative, your real estate agent, and sometimes the seller's agent. The lender does not attend — they've already approved everything. Bring a government-issued photo ID and a checkbook or arrange a wire transfer for your down payment and closing costs. Many title companies now offer online or hybrid closings where you sign some documents remotely, though you may still need to appear in person for the final deed signing.

Key Takeaways

• The Closing Disclosure arrives at least three business days before closing and lists every cost, loan term, and monthly payment — compare it to your Loan Estimate to catch changes.
• You will sign a promissory note, mortgage or deed of trust, deed, and various disclosures; the title company walks you through each one, but you can ask questions and request time to read.
• Closing costs typically run 2 to 5 percent of the home price and cover title insurance, appraisal, underwriting, recording fees, and property taxes or homeowners insurance prorated to closing day.
• Bring a government ID, proof of homeowners insurance, and funds for your down payment and closing costs — wire transfers are common, but confirm the wiring instructions with the title company before you send money.
• The title company will record the deed with the county after closing, which usually takes one to two weeks; you'll receive your recorded deed by mail.

Documents you'll sign at the closing table

The Closing Disclosure is the most important document to review before you arrive. It shows your loan amount, interest rate, monthly payment, all closing costs itemized by category, and any credits from the seller or lender. Compare it line by line to the Loan Estimate you received from the lender weeks earlier — the interest rate, loan amount, and property address must match exactly. If you see a cost that wasn't on the Loan Estimate or a number that changed significantly, call the lender or title company before closing and ask for an explanation. You have the right to delay closing if something doesn't match.

The promissory note is your legal promise to repay the loan. It states the loan amount, interest rate, term (usually 15 or 30 years), and monthly payment. Sign it in front of a notary — the title company arranges this. The mortgage (in some states) or deed of trust (in others) gives the lender a claim on the property if you stop paying. You'll sign this in front of a notary as well. These documents are not optional; you cannot close without them.

The deed transfers ownership from the seller to you. The title company prepares it using the legal description of the property from the title search. You don't sign the deed — the seller does, and you receive a copy. The title company records the deed with the county recorder's office after closing, which makes the transfer official and public. Recording usually takes one to two weeks, and you'll receive your recorded deed in the mail.

You'll also sign disclosure forms confirming you received various notices: the Loan Estimate, Closing Disclosure, privacy policy, and any state-specific disclosures about the property or loan. These are routine and required by federal law. The title company will point out where to sign on each one.

Closing costs: what's included and what varies

Closing costs typically range from 2 to 5 percent of the home price, though the exact amount depends on your loan type, location, and what the seller agrees to pay. A few costs are fixed or nearly fixed: the appraisal fee (usually $400 to $600), credit report fee (typically $25 to $75), and title search and title insurance (varies by state and home price, but often $500 to $1,500 combined). Other costs depend on your loan amount and the property value.

Lender fees include underwriting (the lender's review of your finances and the property), loan origination (a percentage of the loan amount, often 0.5 to 1 percent), and processing. These are set by your lender and should match what the Loan Estimate promised. Title insurance protects you and the lender against claims to the property — it's a one-time premium paid at closing and covers you for as long as you own the home. Recording fees are charged by the county to record the deed and mortgage; these vary by county but are usually $100 to $300. Property taxes and homeowners insurance are often prorated at closing — if you're closing mid-month, you pay the seller for the days they owned the property, and the seller pays you back for the days you own it before the next tax bill or insurance premium is due.

Some costs may be paid before closing or rolled into your loan. Ask your lender which costs are due at closing and which were paid earlier. The Closing Disclosure will show exactly what you owe on closing day.

What to bring and how to pay

Bring a government-issued photo ID (driver's license or passport) and proof that you have homeowners insurance in place — the lender requires this before closing. You'll also need to bring funds for your down payment and closing costs. Most title companies accept wire transfers, cashier's checks, or certified checks; personal checks are usually not accepted because they take time to clear. Confirm the wiring instructions with the title company at least one day before closing — never wire money based on an email you haven't verified by phone.

If you're wiring funds, the title company will give you the bank account details and wire amount. Wire the money the day before closing or the morning of closing, depending on the title company's timeline. Keep the wire confirmation number and bring it to closing. If you're paying by check, bring it to the closing table. Do not send a check by mail — the title company needs to verify it before closing proceeds.

Some lenders allow you to roll closing costs into your loan, which means you don't pay them upfront but instead pay them back over the life of the loan with interest. This is called a no-cost closing or lender credit. If you choose this option, your loan amount will be higher, and your monthly payment will be slightly higher. Ask your lender whether this is an option for you and compare the total cost over time.

Verifying numbers before you sign

Before closing, request the Closing Disclosure from your lender and review it carefully. Check that the loan amount matches your offer, the interest rate is what you locked in, and the monthly payment is correct. Look at the closing costs section and compare each line item to your Loan Estimate. Some costs may have changed slightly — lender fees, title insurance, and property taxes can shift based on final numbers — but large changes or new fees should be explained. If you see something wrong, contact the lender or title company immediately; do not wait until closing day.

At the closing table, the title company representative will walk through each document and explain what you're signing. You can ask questions and request time to read anything you don't understand. If a number on a document doesn't match the Closing Disclosure, point it out before you sign. Once you sign, you're legally bound to the terms, so take the time you need.

After closing, the title company will record the deed and mortgage with the county. This usually takes one to two weeks. You'll receive your recorded deed and a title insurance policy in the mail. Keep these documents in a safe place — you'll need the deed if you ever sell the home or refinance.

What happens if something is wrong at closing

If you notice an error on a document at the closing table — a misspelled name, wrong address, or incorrect loan amount — tell the title company representative immediately. Small errors like a typo in your name can usually be corrected with an addendum, which you'll sign before leaving. Larger errors, like a wrong loan amount or interest rate, may require the lender to issue a corrected Closing Disclosure, which means closing will be delayed by at least three business days (the time required for you to review the new disclosure).

If you discover an error after closing, contact the title company or lender right away. Some errors can be fixed with a corrected document; others may require a formal amendment. The sooner you catch it, the easier it is to fix. This is another reason to review the Closing Disclosure before you arrive at closing — catching errors early prevents delays and confusion.

After closing: what to expect next

After you sign all documents, the title company will give you a copy of everything you signed and a summary of closing costs. You'll also receive keys to the property (usually from the seller's agent or the title company). The title company will then send the deed and mortgage to the county recorder's office for recording. This process typically takes one to two weeks, though some counties are faster.

Once the deed is recorded, you are officially the owner of the property. The title company will mail you a recorded copy of the deed and a title insurance policy. Your lender will mail you loan documents and information about how to make your first payment. Your first mortgage payment is usually due 30 days after closing, though your lender will confirm the exact date. If you have an escrow account (where the lender holds money for property taxes and homeowners insurance), your lender will send you information about how much you'll pay into it each month.

Frequently Asked Questions

Can I back out of closing after I've signed the Closing Disclosure?

Once you sign the promissory note and mortgage, you are legally committed to the loan. However, you have a three-day right of rescission on certain refinances (not purchases). If you discover a serious error in the Closing Disclosure before closing, contact your lender immediately — they may delay closing to correct it. After closing, backing out is not an option without legal consequences.

What if the seller doesn't show up to closing?

The seller must be present or represented by an attorney or power of attorney to sign the deed. If the seller doesn't appear, closing cannot happen. The title company will reschedule. If the seller repeatedly fails to close, you may have grounds to pursue legal action, but this is rare — most sellers are motivated to close on time.

Do I need a lawyer at closing?

In some states, an attorney must be present at closing; in others, it's optional. Your lender will tell you whether an attorney is required. Even if it's not required, you can hire one to review documents before closing. Many people do not hire a separate attorney and rely on the title company to explain the documents.

What if I can't pay my closing costs upfront?

Ask your lender about a lender credit, which reduces your closing costs but increases your loan amount and monthly payment. Some sellers also agree to pay part of the buyer's closing costs as part of the purchase agreement. If neither option works, you may need to delay closing until you have the funds.

How long does it take to get the keys after closing?

You typically receive keys at the closing table or immediately after. Some sellers arrange to hand over keys through the real estate agent. If the property is occupied, the seller may keep the keys until after closing to ensure they can access the home one last time. Confirm the key handoff plan with your agent before closing day.