In Virginia, closing on a home is called settlement. Here’s what happens in the days before, what to bring, and how to protect yourself from wire fraud.
After weeks of searching, negotiating and paperwork, settlement is the day the home officially changes hands. In Virginia, closing is usually called settlement, and it’s handled by a settlement agent, often a title company or real estate attorney.
Here’s what to expect, whether you’re buying or selling.
Choosing the settlement company
In Virginia, buyers generally have the right to choose their settlement company. I’m happy to recommend companies I trust, and your lender may have suggestions too. The settlement agent handles the title search, prepares the documents, collects and sends the money, and records the deed with the county.
The days before settlement
- Review your Closing Disclosure. If you have a mortgage, your lender must send it at least three business days before settlement. It shows your final loan terms and exactly how much you’ll need to bring. Compare it to your Loan Estimate and ask about anything that changed.
- Confirm how you’ll pay. Most buyers send their funds by wire transfer or bring a cashier’s check. Ask the settlement company which they prefer.
- Do the final walk-through. Usually within a day or two of settlement, you’ll visit the home to make sure it’s in the condition you agreed to and any promised repairs are done.
Protect yourself from wire fraud
Real estate wire fraud is a real risk. Scammers send fake emails that look like they come from your settlement company or agent, with new wiring instructions.
- Never trust wiring instructions sent by email alone.
- Call the settlement company to confirm the instructions using a phone number you already know is real, not one from the email.
- Be suspicious of any last-minute change to where money should be sent.
If anything seems off, stop and call me or your settlement company before sending a dollar.
What to bring
- A government-issued photo ID
- Your funds, or confirmation that your wire was sent
- Any documents your lender or settlement company asked for
At the settlement table
Buyers sign the loan documents and the paperwork that transfers ownership. Sellers sign the deed and documents that pay off their existing mortgage. If you’re selling and can’t be there in person, ask about signing ahead of time or by mail. Many settlement companies can arrange it.
Title insurance
If you have a mortgage, your lender will require a lender’s title insurance policy. You can also buy an owner’s policy, which protects you if a problem with the title shows up later. It’s a one-time cost at settlement, and it’s worth considering.
Getting your keys
In most cases you get your keys at settlement, once the documents are signed and the funds are in place. If your contract includes a rent-back for the seller, you’ll get them when that period ends.
After settlement
The settlement company records the deed with the county. Keep your settlement documents in a safe place; you’ll want them at tax time and when you sell someday.
Questions before your settlement?
Whether you’re buying your first home or selling one you’ve owned for decades, I’ll walk you through every step. Read my first-time home buyer guide for the full picture, or send me a note with any questions.
