Destressing closing -- when you're a buyer

Avoiding the closing day rush to get certified funds.  If the terms of your purchase involve bringing the balance of funds for downpayment and closing costs to the closing, you'll have to provide that money in the form of certified funds.  Generally you won't know to the penny how much that will be until 24 hours before the closing.  This really becomes stressful because gee, you're packing, doing a walk through on the property you're buying and possibly even closing on the sale of the place you're living in.  The last thing you need is to also have to make a trip to the bank.

 

What I do when I buy a house in New Jersey, and what I also suggest to buyer clients, is, a week or so before closing, I write a personal check for more money than will be necessary to the trust account of my attorney.  The closing will be taking place at her office and she will be disbursing the funds from her escrow account for everything that isn't already in the seller's attorney's trust account.  I make sure that there's a couple of hundred dollars more than I will need, and she just cuts me a check for the difference at the closing.  It not only removes one big headache from my closing day To-do list, but it means I also get to go home from the closing with a check in my hand, like everyone else.  And, so long as there is plenty of time for the personal check to clear, there is no additional bank fee for a certified check or bank wire.

 

Real life experience: A couple of years ago,  I had buyer clients whose closing had to be postponed from Friday until Monday because they didn't get their "final number" in time to get to the bank for certified funds that day.  They had had painters scheduled to come in over the weekend, before the furniture was to be delivered.  Ironically, they had had these funds in their account for months.  They could easily have deposited a bit more than they would need to their attorney's account weeks in advance.