The Answer
Closing day feels like signing your life away, because in a way, you are.
Between the title company, the lender, and the real estate agent, you'll see dozens of documents sliding across the table. Initial here, sign there, date this, initial again. It's overwhelming, and most buyers just want to get through it so they can finally get the keys.
But here's what most people don't realize: Only a few of those documents are the real deal. The ones that actually control the loan, the property, and your money.
The rest? They're important, but they're supporting actors.
Let me break down which documents deserve your full attention and which ones you can skim without losing sleep.
The Core Lender Documents: The Big Three
These are the heavy hitters. If you're using a mortgage to buy your home, you'll sign all three of these and they all work together to lock in the deal.
1. The Note (a.k.a. The Promissory Note)
What it is:
This is your personal promise to repay the loan. It's the document that says: "I, [your name], owe the bank $X and agree to pay it back."
What's in it:
Your loan amount
Interest rate (fixed or adjustable)
Monthly principal & interest payment
Loan term (15-year, 30-year, etc.)
What happens if you stop paying (default, acceleration, late fees)
Why it matters:
This is the doc that makes you personally liable for the debt. If you default, the lender can come after you personally and not just the house. This is especially important if you ever go through a foreclosure or short sale, because any deficiency (difference between what the home sells for and what you owe) can still be your responsibility depending on Florida law and your loan type.
Red flag to watch for:
Make sure the interest rate and loan amount match what you were quoted. If it's different, stop and ask why before signing.
2. The Mortgage (or Deed of Trust in Some States)
What it is:
This document secures the loan to the property. It's what gives the lender the legal right to take your house if you don't pay the Note.
In Florida, we use a Mortgage. Some states use a Deed of Trust, but they do the same thing; they tie your loan to the physical property.
What's in it:
A lien on your home (the lender's legal claim)
The lender's right to foreclose if you default
Requirements to keep property taxes and insurance current
Clauses about maintaining the property
Why it matters:
The Note says you owe the money. The Mortgage says the house is collateral. Without this document, the lender would have no legal claim to your property and they'd just have an unsecured loan (like a credit card).
Red flag to watch for:
Make sure the legal description of the property is correct. If the address or parcel number is wrong, you could end up with a mortgage on the wrong piece of land (rare, but it happens).
3. The Closing Disclosure (CD)
What it is:
This is the final financial summary of your entire transaction. It's the document that shows exactly what you're paying, where the money is going, and what your loan terms are.
What's in it:
Exact loan terms (amount, rate, term)
Final cash to close (down payment + closing costs)
Monthly payment breakdown (P&I, taxes, insurance, HOA)
Escrow account totals
All fees (origination, appraisal, title, etc.)
Seller credits or concessions (if any)
Why it matters:
This is your final receipt. Every number should match what you were quoted in your Loan Estimate (the document you got when you first applied). If something changed, your interest rate, your cash to close, your monthly payment, you need to know why before you sign.
By law, you get this document at least 3 business days before closing. That's your window to review it carefully and ask questions.
Red flag to watch for:
Compare your Closing Disclosure to your Loan Estimate side by side. Look for:
Interest rate changes
Unexpected fees (lender charges, title fees, etc.)
Cash to close differences
Monthly payment surprises
If anything looks off, call your lender and your agent immediately. Don't wait until closing day to figure it out.
The Supporting Cast: Other Documents You'll Sign
You'll also sign a handful of affidavits, disclosures, and authorizations. These are importantbut they're mostly procedural. They back up the Big Three.
Here's what else you'll likely see:
Occupancy Affidavit
You're promising that you plan to live in the home (if it's your primary residence). This matters because owner occupied loans have better rates than investor loans. If you lie here and the lender finds out, they can call your loan due immediately.
Identity Verification
Proof that you are who you say you are. Usually includes a copy of your driver's license and sometimes a notarized ID affidavit.
Escrow Setup Authorization
Permission for the lender to collect and pay your property taxes and homeowners insurance on your behalf. If you're putting down less than 20%, this is usually required.
Tax and Insurance Permissions
Authorization for the lender to contact your insurance company and the county tax assessor to verify coverage and payments.
Truth in Lending Statement (TILA)
A summary of your loan terms in plain language. This is federally required and should match your Closing Disclosure.
Right to Rescission Notice (Refinances Only)
If you're refinancing (not buying), you get 3 days after closing to cancel the loan without penalty. This doesn't apply to purchases.
These documents are all necessary, but they're not the ones that define your loan or your liability. Don't stress over every single one just make sure they're accurate and you understand what you're signing.
What I’d Tell a Friend
Here's how to remember it:
One document says you owe the money → The Note
One ties that debt to the house → The Mortgage
One shows what it's all costing you → The Closing Disclosure
Everything else is supporting paperwork.
Don't stress every signature but do pay close attention to those three. If something looks wrong, ask questions before you get to the closing table, not while you're sitting there with a stack of papers in front of you and a notary waiting.
And here's the thing most buyers forget: You're not being rude by asking questions. You're being smart. This is the biggest financial decision most people make in their lives. You have every right to understand what you're signing.
If your lender or closing agent gets annoyed by your questions, that's a red flag, not about you, but about them.
Pro Tips for Closing Day
Review your Closing Disclosure 3 days before closing. Don't wait until closing day. If something's wrong, you need time to fix it.
Bring your questions in writing. If you see something on the CD that doesn't match your expectations, write down your questions ahead of time so you don't forget them in the moment.
Take your time at the table. You're allowed to read what you're signing. Don't let anyone rush you.
Ask for copies of everything. You should walk out with a full copy of every document you signed. Keep them in a safe place as you might need them for taxes, refinancing, or selling later.
If something feels off, pause. You can delay closing to get answers. Yes, it's inconvenient. But it's better than signing something you don't understand and regretting it later.
The Bottom Line
Closing day is overwhelming, but it doesn't have to be scary.
Focus on the Big Three: the Note, the Mortgage, and the Closing Disclosure. Those are the documents that define your loan, your liability, and your costs.
Everything else is important, but it's not deal defining.
And remember: You're buying a home, not just signing a stack of PDFs. Know what matters, ask questions, and don't let anyone rush you through the most important transaction of your life.
Have a question for next week's Ask Mike? Hit reply and ask. I answer every one.
