Where are my keys?

The question is often asked “when do I get my keys?”

If you have recently purchased a new home, you most likely met with the closing officer at your title company, and signed your obligations and responsibilities and handed over the required funds to close.

The sellers most likely have met with the title company and signed off on their warranty deed, releasing the mortgage from their obligations and have signed over their ownership of the home to you.

Your next question is likely “when do I get my keys? Why don’t I get them when I have handed over the money and made the promises to pay?”

It’s a legal question, really, and one that is very important.

You will get keys at FUNDING AND RECORDING. Why?  The seller is still liable until the entire process for closing has been completed.

For example, if the buyer is moving in and hurts themselves or pokes a hole in the wall and a water pipe starts spurting, it’s the seller’s insurance that is liable.   Real life example:   Seller and buyer close back to back on one day. The funding and dispursing of funds and recording is for the next day.  Buyer goes in illegally with the lockbox key and rain causes the roof to fall in.   The sellers had cancelled their insurance.  Buyers insurance hasn’t taken effect and the sellers’ insurance is no longer covering the situation.

The other reasons are practical.   Buyers move in early and then want more repair money because the facet dripped, or they see things they didn’t notice before, or they want out of the contract because the house doesn’t feel right. No protection for that last minute ‘change’ of mind.

So, plan ahead, know that your keys will not come to you until and unless the deed has been recorded and the funds have been dispersed to all parties.

Better safe than sorry!