Bob Northern & Company
12540 Patterson Ave
Richmond, VA 23238
Tel: 804-708-9463 • Fax: 804-708-9467
The Closing Process
What paperwork will I sign at the closing?

What's included in the moutain of paperwork at closing.

What paperwork will I sign at the closing? Will I receive copies
of everything I sign?
The "Termite Inspection Letter" goes into detail about the inspector's findings made during the physical inspection of the property. This inspection and resulting report are not limited to only termite damage. The inspector checks for active termite and past termite damage, powder post beetles, rotting wood or damaged wood in the house and crawl space. In the event active wood infestation is found and treated by the inspector, the purchasers are furnished a one-year warranty against future infestation. This warranty is paid by the seller at closing.

If your new home does not have termites or other wood destroying infestation, you will only receive a letter at closing stating your new home has been inspected and there are no visible signs of active infestation. There is no warranty from the inspector for future damage.

It is important to note: You will probably be offered an annual "inspection" from the termite company. Be careful to make sure that annual spraying to avoid future damage is included in your contract with them. Many termite companies only come out to inspect for infestation and do not spray unless they find active infestation. This is a reactive rather than proactive approach to limiting damage. In my opinion this is not the way to go. Richmond, Virginia, is one of the highest termite infested areas in the United States due to our mild weather and humidity.

The "Well Inspection Letter" (if applicable) assures the purchaser that the well is free of fecal coliform bacteria. The well letter does not assure the purchaser that the water is potable. In addition, the inspection letter does not identify the chemical content or the presence or absence of any odor. Make sure before you sign the contract that you are satisfied with the quality of the water!

The "Septic Inspection Letter" (if applicable) reports the findings of a thorough septic system test. It's advisable to have your septic tank pumped at least once every five years. It is important to look for dampness in the drainfield to be assured that the effluence is properly being absorbed by the soil. Counties require that new home construction sites have a second drainfield location identified as a backup in the event the primary field fails.

"Property Owner's Association Dues Information" (if applicable) is signed by you to assure you have been notified of how much your association dues are and how they are to be paid. Property Owners Associations do have the right to put a lien against your property for the non-payment of dues.

If the seller has agreed to have work done on your new home before closing, it is important during your pre-closing inspection to make sure all work has been completed in a workman like manner, though, not necessarily to your satisfaction. Your attorney will give you copies of the "Repair Invoices" from the contractor(s) that did the work to show you that the work has been completed and paid for by the seller. Your attorney will make sure these bills are paid because a licensed contractor can put a "mechanic's lien" against your property for material and/or labor furnished to the job if the bill was not paid.

Your "American Home Shield Warranty" or similar one-year warranty on resale homes will be reviewed and put into effect. It is important you know what the deductible is and whom to contact in order not to void your warranty in the event you have a problem with the mechanical systems of your new home.

Some lenders have a form that recites the borrowers made no misrepresentations as to the completion of their loan application. In addition it states that the purchasers will occupy the property as their principle residence and that their income and employment are virtually the same as at loan application completion.

Some lenders will give you a copy of your appraisal at closing. If they don't give it to you at closing, be sure to write them after you close in order to get a copy for your records.

Don't forget to put your keys and garage door openers in your package before you leave!