I was having lunch with friends last week and we were talking about how secure our homes were – – that led to a discussion on alarm systems, where keys were hidden, safes and fireproof boxes. I also recently refinanced and ran into an issue with the discharge of a previous loan – had no idea where to find the HUD-1 from that transaction and found that I had held onto dozens of documents and although they were all in one place, they weren’t very organized!
Purchasing a home is undoubtedly one of the largest and most important transactions a person will conduct in their lifetime. Along with a great new home, buyers of real estate are also left with a large stack of papers documenting their purchase. It can be overwhelming if you don’t know what all of these papers are for and which ones are important to keep.The following list details documents that should be saved, preferably in a fire-proof safe. You may also choose to contact your lender or real estate agent for additional information about these items and others.
- HUD-1 Settlement Statement: Itemizes your closing costs and may be necessary to reference when paying income taxes.
- Truth in Lending Statement: Summarizes the details of your mortgage, including the interest rate you are paying.
- Deed: Provides proof that the property has been transferred to your ownership.
- Insurance Policy: Serves as proof of coverage and is good to have on hand should you need to make a claim.
For more information about what to expect at closing or to start the search for your next home in or around Basking Ridge (or anywhere in NJ for that matter!), visit my website and I will help you get started.
