Realtor Checklist Contract to Closing
Realtor Checklist: Contract to Closing for Buyer's Agents
Written by: Jason White, a leading real estate coach, broker, and expert in residential real estate agent training courses.
As a buyer's agent, your clients count on you to guide them from contract to closing.
Navigating a real estate transaction from contract to closing the first few times can feel overwhelming and nerve-wracking with your commission payday on the line.
With multiple moving parts, critical deadlines, and legal considerations, you must manage the process skillfully and confidently. An experienced Realtor uses a contract to closing checklist to ensure they stay organized, meet deadlines, and provide clients with a seamless, low-stress experience. Another benefit of using a checklist is consistency in your service and improving your time efficiency. (As they say, time is money)
Good news—you've come to a place where you can find free expert tips for Realtors to improve and grow their business. Realty KickStart has prepared this step-by-step Realtor checklist contract to closing, designed to help new Realtors like you understand the importance of each task in the contract to closing process.
Okay, here's the checklist overview with explanations of each step! Review each step carefully. A summarized 17-step contract to closing checklist is at the end of this article.
Deliver the Contract and Earnest Money
Once the contract is signed, your first step is to send the executed contract and earnest money to the title company. The buyer will receive instructions on sending the earnest money from the escrow assistant.
Earnest money is a deposit showing the buyer's commitment to the purchase, and it's often due within 1-3 days of signing the contract, also known as the executed or effective date of the contract.
Why it's important: Submitting these items promptly ensures the title company and mortgage lender start the closing process. Delays at this stage can push back the entire process and put your client in default of the contract timeline terms.
Deliver the Option Fee
If the contract includes an option period, which is part of the sales contract in many states, ensure the option fee is delivered to the seller's agent or title company at the address and within the timeframe specified in the contract.
In exchange for paying the seller an option fee, the buyer receives an option period that gives your buyer the right to walk away from the deal for ANY reason. Usually, the option period time is used to inspect the property and negotiate repairs. However, the buyer is free to visit the property for a second look and invite friends or family for their opinion of the home and community.
Why it's important: Missing this option fee delivery deadline can void the buyer's ability to back out during the option period, putting their earnest money at risk. Option fee delivery is one of your most critical due dates for you to keep track of.
Schedule Buyer's Access for Inspections
Once the option period begins, notify the listing agent via email to schedule access for the property inspection. Third-party inspections are highly recommended so the buyer can have a qualified set of eyes to identify any expensive repairs needed for the property. Be sure to include a friendly reminder in the email to the listing agent that requests that utilities such as water, gas, and electricity are turned on and that the areas around the HVAC, furnace, and water heater are clear of obstructions for the inspector (such as boxes or other stored items). If one of the utilities is off during the inspection, a reinspection will likely be needed at the buyer's expense.
Why it's important: Scheduling inspections early in the option period gives the buyer time to review findings, gather cost estimates, request repairs, or reconsider their offer if necessary. Inspections should be completed within the first 2-3 days of the option period.
Inspections and Negotiate Repairs
Accompany your buyer at the property during the tail end of the inspection(s). Most general inspections take 3-4 hours. Arrive during the last hour to hear the inspector's summary of the inspection findings. If repairs are needed, submit a formal repair request to the seller's agent within the option period.
Why it's important: Repair negotiations are often time-sensitive and can significantly impact the buyer's satisfaction and budget. Being proactive ensures enough time for both parties to reach an agreement.
Pro Tip - Most home inspectors prefer to avoid having the buyer or their agent hovering over them. Give the inspector space, and save your questions for the verbal inspection findings summary at the end of the inspection. Coach your buyer client to do the same.
Remind the Buyer to Get an Insurance Binder
After repair negotiations are wrapped up, encourage your buyer to shop for homeowner's insurance early in the closing process and have their insurance agent send a "binder" to the loan officer or loan processor. This document is necessary for final loan approval. Most lenders are on top of this step, but it's a good idea to remind your buyer to start shopping for homeowner's insurance as soon as you are wrapped up negotiating the repairs during the option period.
Why it's important: Without proof of insurance, the lender won't release funds, which can delay the closing—and your commission check.
Stay in Touch with the Buyer's Lender
Check in with your buyer's lender weekly via email to confirm that the loan process is on track. The loan officer will often connect you with their loan processor handling the file.
For a buyer's agent, the two most important milestones for you to keep tabs on are the "due back date" for the appraisal and the "clear to close" status.
What does an appraisal due date mean? The "due back date" is when the appraiser must deliver their complete appraisal report to the lender. Who should order the appraisal? The lender orders the appraisal. If the home is appraised at value (meaning the sale price on the contract), you are in the clear and ready to proceed toward a "clear to close."
What does clear to close mean in mortgage? The "clear to close" means that the loan underwriter (the person who basically gives the borrower (your client) and the property the stamp of approval for the loan). A clear to close is generally issued one week before closing.
Why it's important: Lender delays can derail the closing timeline. Staying proactive helps you address potential issues before they become critical. If the lender says they are waiting for your buyer to turn in homework assignments, follow up with your client to help expedite the deliverables to the lender.
Notify the Title Company of a Buyer Mail-out
Ask your buyer if they will be out of town on the closing date. If so, notify the escrow assistant at the title company ahead of time so they can arrange a "mail-out" closing.
What is a mail out closing? A mail out closing is pretty simple. Here's how it works. The title company sends a soft copy of the closing documents for the buyer to review. Then, 1-2 days before the closing date, a mobile notary will meet with your buyer to have them sign the hard copy closing docs. Next, the notary will pack all the docs into an overnight envelope for FedEx or DHL and drop them off for shipment back to the title company. The escrow officer will then review the document packet for closing and funding.
Why it's important: Coordinating remote mail-out closings requires extra document preparation and shipping time. Early notice helps avoid last-minute surprises.
Request Repair Receipts from the Listing Agent
If the seller agrees to make repairs, request proof of completion (such as paid receipts or invoices) and share them with your buyer.
Pro Tip - If the repair concerns are not a lender-required repair (such as a large hole in the roof), strive to negotiate a cash credit to your buyer rather than asking the seller to complete repairs. Cash credit for closing costs is a much cleaner way to handle repair concerns. There is a lower risk of closing delays, and your buyer can select the contractor of their choice and supervise the quality of work.
Why it's important: Verifying repairs ensures the buyer gets what was agreed upon in the contract.
Turn in Broker-Required Docs and Email DA
Your brokerage will require that you turn in all paperwork before you are paid. Ensure that all necessary forms, contract, and amendments are accurately completed and submitted to your brokerage's management along with your commission disbursement authorization (DA) for signature. Next, email your signed DA to the escrow officer.
Pro Tip - Double-check the paperwork for overlooked details like missing initials or signatures. Minor errors can lead to delays in your payday. Plus, the escrow officer needs your signed DA to release your commission check.
Schedule a Closing Time
Once you have the clear-to-close status from the lender, contact the escrow assistant at the title company to schedule a closing appointment for your buyer.
Why it's important: Closings early in the day give lenders and title companies time to process funding on the same day, which is especially important if your buyer needs to move in immediately.
Movers Reminder
Advise your buyer to avoid scheduling movers on the same day as closing, especially for late-afternoon appointments. This reduces stress in case of unexpected delays. I would estimate that half of all transactions do not close on the initial contract closing date. Delays with the lender are the primary reason for delays. Let your buyers know early on that their closing could be pushed back a couple of business days so that they can plan their move accordingly.
Why it's important: Giving your buyer realistic expectations ensures a smoother transition into their new home.
Remind Your Buyer to Transfer Utilities
Provide your buyer with the local utility providers to call so they can transfer services into their name, starting on the closing date. In some states, the utility providers are listed on the Seller's Disclosure Notice. If not, email the listing agent with a polite request.
Why it's important: Overlooking this step can leave your buyer without electricity, water, or other essential services in their new home. Plus, being proactive and transferring service from the seller will save your client money by not having to pay a reconnection fee.
Review the HUD-1 Settlement Statement
The escrow officer at the title company will draft and provide the settlement statement detailing all costs associated with the transaction. Review this document carefully with your buyer to ensure accuracy. Make sure they are receiving the accurate credits per the contract terms. Most Realtors will also double-check that their commission that's paid at closing is correct, too! If you see a mistake on the draft, email the escrow officer right away so they can review the proposed change.
Why it's important: Mistakes on the settlement statement can lead to disputes or delays. Promptly reviewing the statement (within 1-3 hours of receiving the draft via email) allows time to correct any errors before the final version is sent to your client for review.
Protect Against Wire Fraud
Warn your buyer to confirm wiring instructions directly with the title company over the phone before transferring any funds. Many cases have been reported of buyers receiving spoof emails from scammers that appear to be from a title company representative. If your buyer wires funds to the scammer's account, your closing and payday will likely not happen.
Why it's important: Wire fraud is a growing threat in real estate transactions. Taking this step protects your buyer from a crushing financial and emotional loss.
Schedule a Final Walkthrough
Schedule a walkthrough with your buyer, ideally for 24 hours before closing. This is your buyer's chance to ensure the property is in the agreed-upon condition and that repairs are completed.
The main things to look for are water damage, damage to floors or walls from move-out, and double-check that the property has been maintained, such as the lawn.
Why it's important: The walkthrough gives the buyer peace of mind before signing closing documents. Any issues discovered must be addressed immediately by the seller before closing. Take photos and email them to the listing agent to provide clarification.
Pro Tip - Don't nitpick the property if it's not new construction. The home is used and will not be delivered to the buyer in perfect condition. Just look for significant damage that shows the seller was careless, that the house is "broom clean," and that trash and personal items have been removed or are on the curb for pick up.
Friendly Reminder - ID for Closing
Remind your buyer to bring government-issued identification. Most title insurance companies accept a valid driver's license or passport.
Why it's important: Title companies require valid IDs to verify the buyer's identity, notarize signatures, and finalize the transaction.
Attend Closing and Celebrate!
On closing day, attend the appointment with your buyer (if possible) and support them as they sign their final documents. There's not much for you to do during the closing other than be there for your client. The majority of questions will be answered by the escrow officer or attorney who is facilitating the document signing. Once the transaction is funded (usually 1-4 hours after the buyer and seller sign), congratulate your clients. It's time to hand them the keys to their new home!
Why it's important: Your role continues after the closing. Celebrating this milestone builds a bond and opens the door for future buyer or seller referrals.
17-Step Contract to Closing Checklist Summary
- Deliver the Contract and Earnest Money
- Deliver the Option Money
- Schedule Buyer's Access for Inspections
- Inspections and Negotiate Repairs
- Remind the Buyer to Get an Insurance Binder
- Stay in Touch with the Buyer's Lender
- Notify the Title Company of a Buyer Mailout
- Request Repair Receipts from the Listing Agent
- Turn in Broker-Required Docs and Email DA
- Schedule a Closing Time
- Movers Reminder
- Remind Your Buyer to Transfer Utilities
- Review the HUD-1 Settlement Statement
- Protect Against Wire Fraud
- Schedule a Final Walkthrough
- Friendly Reminder - ID for Closing
- Attend Closing and Celebrate!
Ready to use this checklist? Save it for your next transaction and share this blog post with your fellow Realtor friends!
Final Thoughts
Guiding buyers from contract to closing involves a lot of moving parts, but following this Realtor checklist contract to closing safeguards from things falling through the cracks. Review this information with your sponsoring broker to ensure compliance and brokerage workflow.
By understanding and explaining the importance of each step to your buyer, you'll establish yourself as a knowledgeable and organized Realtor, which will make them feel at ease.
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Legal Disclosure: The term "REALTOR®" is a federally registered trademark owned by the National Association of REALTORS® (NAR) and is used to identify real estate professionals who are members of NAR and subscribe to its strict Code of Ethics.