Do You Get the Keys at Closing?
Gain clarity on the nuanced process of receiving your new home's keys after closing. Understand the actual timing and what comes next.
Closing, the final step in purchasing a property, marks the official transfer of ownership. This process brings together various parties to finalize legal documents and financial transactions. It signifies the point where the property formally becomes yours.
When Keys Are Transferred at Closing
While closing is a significant milestone, the actual transfer of keys is contingent on several financial and legal steps beyond just signing documents. Keys are generally released only after the loan has been fully funded and the deed officially recorded with the county recorder’s office. This ensures that all funds have been disbursed to the seller and the buyer is recognized as the legal owner of record.
The timing of key transfer can vary, often depending on factors such as bank wire transfer schedules and the operating hours of county recording offices. While some buyers may receive keys on the same day as closing, especially if the closing occurs early in the day and not on a Friday, delays are possible.
For instance, if closing happens late in the afternoon, or on a Friday, the funding or recording might not be completed until the next business day, delaying key possession. Lenders must review all signed documents and issue a “funding number” to authorize fund release. This process can take a few hours or extend into the next business day.
Until the deed is officially recorded, legal ownership has not fully transferred, and keys may be withheld.
The Key Handoff Process
Once all conditions for possession are met, the physical transfer of keys typically occurs. Real estate agents often facilitate this handoff, or in some instances, keys may be left at the property in a lockbox for the new owners to retrieve. The specific details of this process are often outlined in the purchase agreement, ensuring a clear understanding between buyer and seller.
The items transferred usually include all relevant access devices for the property. This encompasses house keys for all exterior doors, mailbox keys, and garage door openers. It may also involve security system codes, gate fobs, or community access cards, depending on the property type. While most keys are handed over, situations can arise where a complete set is not immediately available, perhaps due to a seller’s oversight or a lost key. In such cases, real estate professionals can help coordinate the delivery of any missing items or advise on next steps.
After You Get the Keys
Upon receiving the keys to your new home, securing the property is a prudent measure. Rekeying or changing the locks on all exterior doors is highly recommended to ensure that only you and authorized individuals have access. Previous owners, their friends, or service providers may have had copies of old keys. Rekeying provides peace of mind by making those old keys unusable and typically involves altering the lock’s internal mechanism to fit a new key, which is generally more cost-effective than replacing entire lock hardware.
Ensure all utilities are transferred into your name, effective on your possession date. This includes electricity, gas, water, and waste removal services. Contacting utility providers at least two to four weeks in advance of your move-in date can help prevent service interruptions. Locate and label the main water shut-off valve, circuit breaker box, and gas shut-off valve within your new home for safety and convenience. Finally, organize all keys and access items received, perhaps labeling them for easy identification.