Closing Process & What to Expect as a Seller in Mississippi

Selling your home is an exciting milestone, but the closing process can feel overwhelming if you don’t know what to expect. From reviewing offers to handing over the keys, each step is crucial to ensuring a smooth, successful sale. Here’s a step-by-step guide to help you navigate the closing process as a seller in Mississippi.

Step 1: Accepting an Offer & Signing the Purchase Agreement

Once you receive an offer (or multiple offers), it’s time to review and negotiate:

✅ Price & Terms – Make sure the offer aligns with your goals. If needed, you can counteroffer.
✅ Contingencies – Buyers may include conditions such as home inspections, financing approval, or appraisal requirements.
✅ Earnest Money Deposit – Buyers typically submit a good faith deposit (usually 1–3% of the home’s price) to show commitment.

📌 Pro Tip: A strong offer includes a pre-approved mortgage letter, a solid earnest money deposit, and minimal contingencies.

Once you and the buyer agree on terms, both parties sign the purchase agreement, and the home officially goes under contract.

Step 2: Home Inspection & Appraisal

After signing the contract, the buyer will schedule a home inspection and appraisal to ensure the property is in good condition and priced fairly.

Home Inspection (7–10 Days After Offer Acceptance)

🔍 A licensed inspector evaluates your home’s foundation, roof, plumbing, electrical systems, and HVAC.
📑 Potential Outcomes:

• If the inspection reveals minor issues, the buyer may request repairs or credits.
• If major issues arise, they may renegotiate the price or withdraw from the contract (if contingencies allow).

Seller’s Tip: Be proactive! Fix small issues before listing to avoid last-minute surprises.

Appraisal (Required for Buyer’s Loan Approval)

🏡 If the buyer is financing the purchase, the lender will order an appraisal to ensure the home’s value matches the loan amount.
📉 If the appraisal comes in lower than the offer price, the buyer may renegotiate or seek additional financing.
📈 If the appraisal meets or exceeds the price, the sale moves forward smoothly.

Step 3: Title Search & Legal Paperwork

A title company or attorney will conduct a title search to verify that your home has no liens, unpaid taxes, or ownership disputes.

📑 You’ll need to provide:
✔️ A clear property title (ensuring no legal disputes over ownership)
✔️ Mortgage payoff details (if you still owe on the property)
✔️ Homeowners Association (HOA) documents (if applicable)

Once the title is cleared, the sale is ready to proceed!

Step 4: Preparing for Closing Day

As the closing date approaches, you’ll need to:

✅ Make final repairs (if agreed upon) – If the buyer requested repairs, they must be completed before closing.
✅ Cancel utilities & services – Set a move-out date and notify utility providers (electric, water, internet, etc.).
✅ Schedule a final walkthrough – Buyers typically do a final check to confirm everything is in order before signing.

Step 5: Signing the Closing Documents & Transferring Ownership

🎉 Closing day is here! On this day, you’ll meet at the title company, real estate attorney’s office, or via remote closing (in some cases).

As the seller, you’ll need to sign:
✔️ The Deed – Transfers ownership to the buyer.
✔️ Closing Statement (HUD-1 or ALTA Statement) – Outlines all final costs and payments.
✔️ Bill of Sale – Lists any appliances or items included in the sale.
✔️ Mortgage Payoff Authorization – If you had a mortgage, this ensures it’s paid off at closing.

Step 6: Receiving Your Payment & Handing Over the Keys

💰 After all documents are signed, the title company processes payments.

Funds Distribution:

• Your remaining mortgage balance is paid off (if applicable).
• Any real estate commissions & closing costs are deducted.
• You receive your net proceeds via check or wire transfer.

🔑 Finally, you hand over the keys, garage openers, and any important documents (like warranties or manuals) to the buyer.

📌 Pro Tip: Most Mississippi home sales close within 30-45 days after accepting an offer, but cash sales can close much faster!

What Are the Seller’s Closing Costs in Mississippi?

While buyers pay most of the upfront costs, sellers still have some expenses:

💵 Typical Seller Closing Costs:
✔️ Real Estate Commission – Usually 5-6% of the sale price (split between agents).
✔️ Title Transfer Fees – Covers legal transfer of ownership (varies by county).
✔️ Outstanding Property Taxes – You must pay any unpaid taxes up to the closing date.
✔️ HOA Fees (if applicable) – If you have an HOA, outstanding dues must be cleared.
✔️ Seller Concessions (Optional) – Some sellers offer to cover part of the buyer’s closing costs to make the deal more attractive.

📌 Mississippi does NOT have a state transfer tax on real estate sales, which helps reduce costs for sellers!

Final Thoughts: Sell Your Home with Confidence!

Selling a home in Mississippi doesn’t have to be stressful. With the right preparation and an experienced real estate agent, you can maximize your profit, avoid delays, and close smoothly.

📞 Thinking of selling your home? Contact us today for a free home valuation and expert guidance!