A day or two before the actual closing, you should receive a final HUD settlement statement from your lender. This statement will list all the charges you’ll have to pay at closing. Review it carefully with your agent.
What Happens on Closing Day?
In a nutshell — a lot of paperwork, and all of it important. The closing agent, generally an escrow company representative, will list all remaining monies that you owe the seller (remainder of the down payment, prepaid taxes, etc.), as well as any money the seller owes you (unpaid taxes and prepaid rent, if applicable).
When you’re comfortable that you understand all the documentation, you’ll sign the mortgage. You’ll pay all remaining closing costs. The deed will be recorded in the state’s Registry of Deeds.
Congratulations! You’re now a homeowner!