How to Choose the Perfect Closing Date

It's customary in many real estate transactions, to allow the buyer/seller to coordinate a closing date. Some might opt for the absolute fastest closing date possible, and while there's nothing particularly wrong with that, you may be losing out on potential savings and encounter issues due to a short timeline. However, when you work with the best title agency at the Lake of the Ozarks, we'll help guide you through the best possible closing date for your transaction.

Arrowhead Title is your trusted source for title settlement and escrow services at the Lake of the Ozarks. Continue reading our blog to find out more about how to choose the right closing date and why it's important to your real estate transaction.

Time Between Offer Date & Closing Date

When buying a home, the amount of time between the date of your offer and the actual closing date is typically 4-6 weeks. And that's with everything going according to plan, should you factor into title issues, this can delay the closing even further. While 4-6 weeks may seem a little long to get the paperwork together, this time is essential for title agents and underwriters to conduct thorough research on the property's title, history, and other records that help uncover any potential issues that may arise for the lender on your credit or on your title. It's better to take the time to get it done correctly the first time, rather than rushing a closing and securing a home (or maybe not "securing") with a slew of legal issues.

The best rule of thumb, give yourself at least 30 days from the offer date to have the official closing take place. This gives ample time for all parties working on your transaction to uncover anything critical that needs to be addressed. Our recommendation, choose a closing date 30-45 days from the offer date if at all possible.

Which Days are Better for Closing? 

As you likely know from your industry, there are certain days of the week/month that just don't quite flow as smoothly as the others. Such as a busy Friday at a bank where hundreds rush the teller line to cash their paychecks. Certain days of the week are better for closing that others, like our example above, Friday is not a behooving day to try to close, you could have people with the "weekend-mind," rushing transactions and making errors.

Also, it's best to steer clear from the last day of the month. The end of the month for many businesses involves thorough bookkeeping to close out the month for accounting purposes. While it could save you a little bit of money regarding prorated interest, the closing process runs smoother when the closing date is scheduled a week or so before the end of the month. This allows your lender, title company, and realtor time to work the file to completion, without having to rush and potentially miss something.

If you are more interested in the financial strategy of the closing process there is that option as well. Let's say you are closing in October, your first mortgage payment will be December 1st. The interest will vary, however, based on the closing day chosen. Let's say you close on Oct 30th, you'll pay 1 days' worth of interest at closing. Whereas if you close on October 1st, you'd owe 30 days' worth of interest on the day of closing.

Our professional advice, choosing a day roughly one week before the end of the month can help to reduce the prorated interest due, as well as allowing ample time for your loan, title, and realtor team to work the file thoroughly to completion.

Is There a Best Time of Day? 

So, there's the best day to close, what about the best time? A busy work schedule can make it hard to break away during the workday to close on your home, however, scheduling your closing appointment early in the morning or early afternoon work in your favor. These time frames allow for any closing adjustments to be made seamlessly, without having to rush or feel pressured. Plus, it gets it off of your plate earlier and you can move on to the next project on your list. Another aspect of this to consider is, what are your bank's hours of operation? Ensure that your financial institution will be open and ready to fulfill any cashiers' check adjustments, wiring funds, or verifying any information.

So, to summarize, here are three of the best tips for determining the best closing date for your real estate transaction:

  • Allow yourself and the businesses you're working with ample time to conduct thorough research and compile reports/disclosures
  • Choose a date in the month that helps keep you as the priority
  • Schedule a time in the day that keeps you and the businesses from feeling rushed

At Arrowhead Title, we pride ourselves on delivering excellence with each and every title and settlement service at the Lake of the Ozarks. Our team of title experts will help you navigate through the closing process every step of the way. So, when you're ready to secure your new home, set yourself up for success with the best title company at the Lake of the Ozarks!

The Lake of the Ozarks' Most Trusted Title Company

Where Accuracy Matters!

750 Bagnell Dam Blvd Suite B
Lake Ozark, MO 65049


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