You have made it through the mortgage process, the closing date is approaching, and you are almost ready to get the keys. Before signing the final paperwork, there is one more important step: the final walkthrough.
Also called a pre-settlement walkthrough, this visit gives you an opportunity to confirm that the property is in the expected condition and that agreed-upon repairs and other contractual obligations have been addressed.
What Is a Pre-Settlement Walkthrough?
A pre-settlement or final walkthrough is a visit to the property shortly before closing. It is not intended to replace the home inspection or provide another opportunity to negotiate issues you already knew about.
Instead, the walkthrough helps confirm that the home has been maintained as required by your purchase contract, agreed repairs have been completed, and items that were supposed to remain with the property are still there.
The CFPB recommends conducting a final walkthrough before signing closing documents to verify agreed repairs and confirm that anything the seller agreed to leave is in place.
What Should You Check During the Final Walkthrough?
Use the walkthrough to look for changes that may have occurred since you last visited the property. Depending on your purchase agreement and circumstances, your checklist might include:
- Confirming agreed-upon repairs have been completed
- Checking for new leaks, water damage, or other visible problems
- Confirming fixtures and personal property included in the contract remain
- Testing appliances that are included in the sale
- Running faucets and checking plumbing fixtures
- Testing lights, electrical items, and garage door openers
- Checking heating and air conditioning operation
- Confirming the seller's belongings and debris have been removed as required
Bring your purchase contract, repair agreements, inspection-related documents, and a checklist so you know exactly what should be verified.
When Should You Do the Final Walkthrough?
The walkthrough usually takes place very close to closing. The timing and rights involved depend on your purchase contract.
For example, the Florida Realtors and Florida Bar Residential Contract for Sale and Purchase provides for a walkthrough on the day before closing or on the closing date before closing, as specified by the buyer. The walkthrough is used to verify property maintenance, required repairs or replacements, included personal property, and other contractual obligations.
Your own contract controls your transaction, so coordinate the timing with your real estate professional rather than assuming a particular timeframe applies.
What if You Find a Problem During the Walkthrough?
If something is wrong, document the issue and notify your real estate professional promptly. Do not assume you must simply accept the problem because closing is scheduled.
The appropriate solution depends on the purchase contract and the nature of the issue. Depending on the circumstances, the parties may address an incomplete repair, missing item, new property damage, or another contractual concern before closing.
The CFPB recommends contacting the seller immediately when agreed repairs have not been completed or agreed items are missing. If a significant issue affects the transaction, consider obtaining guidance from your real estate professional, settlement agent, or a qualified real estate attorney as appropriate.
Is a Final Walkthrough the Same as a Home Inspection?
No. A professional home inspection usually occurs earlier in the transaction and provides a more detailed evaluation of the property's condition.
The final walkthrough has a narrower purpose. You are primarily confirming that the property remains in the expected condition and that the seller has fulfilled applicable obligations under the purchase agreement.
Skipping the walkthrough because you already completed an inspection could mean missing something that changed between the inspection and closing.
Do Not Skip This Final Homebuying Step
Closing day can be busy, but a final walkthrough deserves a place on your schedule. Take your time, use a checklist, and raise concerns before signing your closing documents.
A walkthrough cannot guarantee that you will discover every property issue, but it provides an important final opportunity to confirm that the home you are about to purchase matches what was agreed upon.
Loan Wolf Lending can help Florida homebuyers understand the mortgage process from application through closing. Call 754-755-3075 to discuss your home financing options.