If you’re in the middle of selling your home and buying a new one, you’re probably buried under piles of paperwork. Indeed, real estate transactions generate documents galore, and these can be difficult to manage. However, there are ways you can get the paperwork under control and smooth out the process. Read on for some tips.
Gather Sale Documents
Your first step in paperwork management is to gather all the documents you’ll need to sell your home. Make sure you have access to your property deed and any property surveys that have been done. Also, gather your tax records and any other financial paperwork that might benefit your home’s next owner. Maintenance records will be helpful, too, and you should include all paperwork for your home’s appliances and systems, such as instruction manuals and warranties. If you’ve done any remodeling, pull together the permits and certificates of compliance.
Gather Purchase Documents
You must also collect any documents you’ll need on the purchasing end of your real estate transaction. This might include your budget, mortgage pre-approval, and information about houses you’d like to view. As you choose a house, you’ll need to keep track of offers, inspection records, and mortgage and closing documents.
Organize and Digitize
All these sale and purchase papers will pile up quickly, so develop an organization system. For physical documents, set up a series of hanging folders in a file box or cabinet, and label each file clearly and logically so that you can find everything quickly. Organizing paperwork digitally is also a great option. To do so, scan your documents and save them on the cloud to be able to access them from any device. Also, consider condensing large files and multiple documents into smaller, combined files using online PDF tools that let you merge documents, add or delete pages from a file, and save files in a format that is easy to share and open.
Do Your Research
Part of your paperwork collection should be your personal research. For instance, thoroughly investigate mortgages as you’re looking for your new home. Determine exactly how much you can afford, and check your credit score and budget — including income, expenses, and current debt. Read up on different kinds of mortgages and lender requirements, and know what information lenders want, such as employment status and mortgage amount requested. Also, go through the pre-approval process to ensure that you’ll have what you need when you find the right house.
Know What You’re Signing
Finally, be aware that you’re going to have to sign a lot of paperwork to complete both the sale and purchase processes. Before you do, read each document carefully and be sure you understand it. If you don’t, ask your real estate agent to explain. You must always know exactly what you’re signing.
Enjoy Your Home
When the selling and buying processes are finished, you can settle into your new home. The process will be the easiest if you take the time to gather the sale and purchase documents that you’ll need, organize them digitally, and do your research about mortgages and what you’re signing.
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