Oregon 30-Hour Real Estate Law Practice Test

When does a buyer learn how much money to bring to the closing?

1. At the closing

2. After the Loan Estimate

3. Before the closing

4. During the loan application

The correct answer is: Before the closing

A buyer typically learns how much money to bring to the closing before the closing takes place. This information is crucial for ensuring that the buyer is prepared and has the necessary funds available for the transaction. Prior to closing, the buyer receives key documents, such as the Closing Disclosure, which outlines the final terms of the loan, including the total closing costs, down payment, and any other expenses the buyer is responsible for. This document is usually provided at least three days before closing, allowing the buyer to scrutinize the financial aspects of their purchase and know precisely how much money is required for the closing. It's essential for buyers to review this information to ensure a smooth closing process. When they arrive at the closing, they should be well-informed and prepared with the accurate funds, ensuring that the transfer of ownership can proceed without delays or complications.