
There are dozens of steps to buying a home. As you reach the close of escrow, you’re probably wondering when you will receive the keys to your new home. The jingle noise of your new home key clinking against the others is a heartwarming feeling for newer homebuyers. Ideally, the buyer gets keys at closing, which closes out the real estate transaction. This answer might sting, but the sad truth is that not all keys are handed over on the closing day.
Here, we uncover if you do get keys at closing when buying a house and what can prevent you from receiving them.
How Long It Takes to Get the Keys to a House
The timeline for acquiring the keys to a house is not set in stone. Getting your keys varies depending on the specific details of the transaction. Typically, the magical moment of key transfer occurs at the closing meeting.
This is the climactic point for all parties involved! The buyer, seller, real estate agents, and title company come together to finalize the deal. There are legal documents, settlements to pay, and wires to transfer. Sadly, any small hiccup can cause a delay in the keys getting handed over to you.
Generally, you get the keys on closing day, which lasts roughly 1 hour. However, delays can cause this timeline to range from hours to weeks. Sometimes, you won’t get the keys at closing and will have to wait weeks for certain things to process. The homebuying process isn’t over until it’s truly over!
Key Exchange: What Happens at Closing?
Closing day is the moment of truth when the ownership of a property is officially transferred to the new owner. As you can imagine, this process involves more than just physically handing over the keys. For example, there could be multiple keys for you to get, such as the garage door and community pool ones. Key exchanges can be complicated, adding to the stress you and the seller both experience on closing day.
Seller's Responsibilities of Handing Over the Keys
As a seller, it’s easy to feel burnt out after a longer, complicated transaction. At this point, all you want to do is sell your house as fast as possible and move on. Hanging over the keys to the new owner seals that deal.
Prior to the closing, it’s important to gather all keys to the house, including any spare sets. Don’t forget miscellaneous ones like mailbox keys, security codes, and fobs for gated communities or building access. Prepare these keys in advance so homebuyers can get the keys at closing and avoid complications.
Keyless Entry Doors
What if the seller has keyless entry to their property? Even if the home is high-tech, you should still get keys at closing if they exist. Make sure – as a buyer – you get all keys that are available at closing. Delaying the key exchange process can become a pain because the seller may forget after the closing date happens. Knock out all important matters on the closing date when possible.
Lost Keys
What should you do if the seller lost the keys to give you at closing? First, check if they have spare keys that they can give you afterward. If they do, stay on them to make sure they actually give you the spare key.
If all keys to the front entrance door are lost, you’ll have to get the locks changed. This can be negotiated between the buyer and seller as to who pays for this. It’s fair to have the seller pay for this as a credit on closing day. Even if they use the excuse their house is haunted and a ghost stole the keys, make sure you get credited for them.
What Can Prevent You From Getting The Keys at Closing
Despite crossing all t’s and dotting all i’s, the key exchange at closing can experience unexpected delays. Even with 99% of the documentation process completed, there can be one thing missing that halts everything. One unsigned piece of paper can prevent you from getting the keys at closing to your new home. Let’s explore some scenarios and how you can make sure you get keys on closing day.
1. Unresolved Repair Issues
One reason you won’t get keys at closing is an unresolved repair issue. During the sale process, the seller might have agreed to perform certain repairs before the transfer of ownership. If these repairs are incomplete or low-quality, the buyer may rightfully request a delay in the key exchange. Sellers need to address all agreed-upon repairs and provide proof of the work to avoid last-minute disputes.
2. Last-Minute Financing Hiccups
Financial complications derail home sales constantly. Lenders can catch something that forces them to delay the sale and prevent you from getting the keys at closing. For example, a buyer can incur an unforeseen debt, causing their mortgage to be denied. You can get keys to a house if you can’t afford to buy it.
3. Title Issues
Title issues are one of the most common reasons why home sales don’t close. Any issues with the title – such as unresolved liens or boundary disputes – can significantly delay the closing process. Resolving these issues is sometimes quick and easy. Other times, you’re looking at weeks of delay. Major title issues can prevent you from receiving the keys at closing, or possibly forever. As a seller, let the title company know about any potential issues ahead of time to avoid closing delays.
4. Final Walkthrough Problems
The final walkthrough conducted just before closing can uncover new issues. There could be new damages around the house that weren’t there when the initial purchase agreement was signed. Depending on how severe the damage is, buyers can request to postpone the home sale. Obviously, if this happens, you are not getting the keys on the initial closing day.
Getting Keys at on Closing Day
While the process of exchanging keys at closing is typically straightforward, there are several, common obstacles that can prevent you from getting them. As a buyer, you can only prepare so much to put out fires in advance. In certain cases, it makes sense to delay closing so that new issues can be resolved first. Extinguish any major problems before closing day so that you can get your keys and start your next chapter of homeownership.