15 Steps to Homeownership: 11: The Closing Process

Course Title: The Power of Ownership™: Easy Steps to Smart Homebuying

STEP 11: Navigating the Closing Process

1. COURSE OVERVIEW

Step 11 of The Power of Ownership™ walks participants through the final stretch of the homebuying journey: the closing process. Often called “settlement,” closing is the legal and financial culmination of months of planning, documentation, inspections, and negotiation. It is the moment when title legally transfers from seller to buyer—and ownership is finally secured.

But this process can be overwhelming, filled with paperwork, technical language, and unexpected delays. This module simplifies the closing process, outlining what to expect, what documents to prepare, how to read the closing disclosure, and how to avoid costly last-minute mistakes. It demystifies terms like escrow, title search, funding, and disbursement, and it explains what happens on the day of signing.

Step 11 is about finishing strong—approaching closing day with clarity, calm, and confidence. Participants will walk away with a clear roadmap for closing successfully and a checklist to ensure no detail is overlooked.

1. LEARNING OBJECTIVES

By the end of this module, participants will:

• Understand what happens during the closing process
• Learn how to read and verify a Closing Disclosure (CD)
• Know the roles of escrow officers, title agents, attorneys, and lenders
• Prepare all documents and funds needed for closing day
• Avoid last-minute issues that delay or derail closing
• Know what to expect during the final walkthrough
• Celebrate and transition into ownership with peace and preparedness

III. SCRIPTURAL FOUNDATION

Philippians 1:6 (NIV) – “Being confident of this, that he who began a good work in you will carry it on to completion…”

The closing process is a sacred finish line. You’ve prayed, planned, prepared—and now it’s time to possess. Completion is not chaos. It is clarity, peace, and stewardship. When God begins a good work in you, He empowers you to finish strong.

1. INSPIRATIONAL QUOTE

“Closing day doesn’t just transfer title. It transfers testimony—from vision to victory.” — Coach Greb

1. THE CLOSING TIMELINE: WHAT TO EXPECT
2. Loan Approval to Clear to Close (CTC)

• Once underwriting approves all final documentation, you’ll receive a “Clear to Close” notice from your lender.

2. Receive Closing Disclosure (CD)

• Must be provided at least 3 business days before closing
• Lists final loan terms, interest rate, payment, fees, and cash to close

3. Final Walkthrough (1–2 days before closing)

• Last opportunity to confirm property condition
• Ensure agreed repairs were made
• Confirm no damage or changes since inspection

4. Closing Day: Signing Appointment

• Meet at title office, attorney’s office, or remotely via notary
• Bring required documents and funds
• Sign closing documents (approx. 60–90 minutes)

5. Funding & Disbursement

• Lender wires funds to escrow
• Seller receives proceeds
• Buyer gets keys once funds are disbursed and deed recorded

1. KEY PLAYERS AT CLOSING

• Escrow Officer / Title Agent: Facilitates document signing, handles money, ensures title transfer
• Closing Attorney (in some states): Legally oversees and explains documents
• Loan Officer: Final loan review and confirmation
• Real Estate Agent: Supports you, reviews documents, attends closing
• Buyer (You!): Brings ID, down payment funds, and asks questions as needed

VII. WHAT IS A CLOSING DISCLOSURE (CD)?

The CD is a standardized 5-page document that outlines your final loan terms and closing costs. Review this document carefully.

Key Sections:

• Loan amount, interest rate, APR, monthly payment
• Escrow information (taxes and insurance)
• Closing costs (origination, title, taxes, prepaid items)
• Total cash to close
• Comparison to initial Loan Estimate

Checklist for Review:

• ✔ Loan terms match what was quoted
• ✔ APR and closing costs are as expected
• ✔ Prepaid items (insurance, taxes) are accurate
• ✔ Lender credits and seller concessions are included

Always ask questions about anything unclear or unexpected.

VIII. FINAL WALKTHROUGH: PROTECTING YOUR PURCHASE

The final walkthrough isn’t a formality—it’s your last opportunity to confirm:

• Repairs were completed
• No new damage occurred
• All items included in the sale (e.g., appliances) remain in place
• Property condition is unchanged

Bring:

• Copy of inspection report
• Offer agreement
• Phone/camera to document issues

If serious problems are found, closing can be delayed or renegotiated.

1. WHAT TO BRING TO CLOSING

Documents:

• Government-issued photo ID (passport or driver’s license)
• Proof of homeowners insurance
• Copy of Closing Disclosure
• Certified funds or wiring instructions for closing amount

Other:

• A pen (though most use those provided)
• Your checklist and questions

Important: Wiring fraud is real. Always confirm wire instructions verbally with the title office.

1. WHAT YOU’LL SIGN

Closing involves a series of legal documents. Expect to sign:

• Mortgage note (your promise to repay)
• Deed of trust (puts lien on home until repaid)
• Loan disclosures
• Closing Disclosure
• Escrow forms
• Title documents

Don’t rush. Read. Ask questions. You’re signing for a 15–30 year commitment.

1. CASE STUDY: Ava’s Last-Minute Victory

Ava, a single mother of two, was scheduled to close on a Friday. On Wednesday, her CD showed a $1,900 discrepancy in closing costs due to a misapplied seller credit. Her agent escalated the issue, and by Thursday, the title company corrected the error.

On the morning of closing, Ava completed the final walkthrough and noticed the refrigerator (included in the sale) was missing. Her agent called the seller’s agent, and the fridge was returned before signing.

Lesson: Ava came prepared. Her calm, organized approach protected her time, money, and trust. Closing was delayed by one hour—but she left with peace, clarity, and keys in hand.

XII. DO’S AND DON’TS

✅ DO:

• Review your CD line by line
• Schedule a final walkthrough and take it seriously
• Confirm wire instructions by phone
• Bring all required ID and documents

❌ DON’T:

• Skip the walkthrough
• Send wire transfers via unsecured email links
• Assume all fees are correct—verify!
• Rush through signing without understanding

XIII. PRACTICE EXERCISES

1. CD Breakdown Worksheet

• Review a sample Closing Disclosure
• Identify all key costs and verify correct amounts

2. Walkthrough Inspection Sheet

3. Closing Roleplay Simulation

• Assign roles: buyer, escrow officer, realtor
• Practice Q&A and document review

4. Faith Reflection Prompt

• Have I approached this journey with gratitude?
• What does it mean to complete this with integrity and peace?
• Am I preparing my heart for the responsibility of ownership?

XIV. TEACHER’S MANUAL SNAPSHOT

Session Goals:

• Equip learners to navigate the closing process confidently
• Teach how to interpret legal documents and fees
• Reinforce stewardship and final decision-making skills

Suggested Tools:

• Sample CD and walkthrough reports
• Video tour of a closing appointment
• Handout: Glossary of closing terms

Activities:

• Partner exercise: identify red flags on CD
• Group mock walkthrough using photos
• Class discussion: “What would you do?” scenarios

1. PARTICIPANT GUIDE SUMMARY

Includes:

• Closing checklist
• Document prep guide
• Wire safety instructions
• Prayer for the day of possession

Assignments:

• Review a sample CD and discuss with instructor
• Schedule a mock closing with a peer
• Prepare your personal closing folder

XVI. CONCLUSION

The journey to ownership ends not with keys—but with knowledge, clarity, and peace. Closing is not just a formality—it is a covenant. You are taking possession of a gift. Steward it well. Ask the questions. Review the pages. Thank God aloud.

Scripture Reminder: “You will go out in joy and be led forth in peace.” — Isaiah 55:12

May your closing day be filled with wisdom, wonder, and worship.