Closing day is the day when money, title and (usually) keys change hands. The buyer and seller mutually agree on the date and time, which are recorded in the offer to purchase document.
The days before closing can be exciting and nerve-wracking. As a seller, you can do several things to make closing day a happy day:
Whenever possible, avoid closing on Friday, the end of the month or before long weekends. If anything goes wrong, neither you nor your buyer have any leeway to fix it.
Another reason to avoid Friday closings: if you're retiring (paying off) your mortgage on a Friday, you could be charged three extra days of interest (four days over a long weekend) if the funds reach the lender too late on Friday afternoon.
Ask your lawyer or notary who is responsible for ensuring water, hydro and gas companies read your meters as of closing day, and arranging for final bills to be sent.
Double-check several days prior to closing to ensure that everything is in order. Contact utility and service providers to confirm service shut-off and ensure you're not charged beyond the closing date. Make sure your lawyer or notary has made all needed preparations. If certain conditions have not been met by closing day-the buyer's financing is not in place, for example-the deal may be forfeited.
At closing, you and your buyer will make adjustments to settle certain financial obligations such as prepaid taxes, or fees. Learn more about closing adjustments.
