Things to Know for Your Closing in Myrtle Beach SC

If you are purchasing a home in Myrtle Beach SC, congratulations! While the difficult part of the process should hopefully be over, here’s a list of things you should know as you get ready for your closing.

 

  1. You won’t get your keys until the deed is recorded.

In Horry County, where Myrtle Beach is located, you typically do not get the keys until the Deed is recorded. This can be later on the same day as your closing, or, if there is a delay in recording the Deed for some reason, you may need to wait until the next day.  Make sure you plan for this.

 

A delay in recording the deed can be very frustrating—especially when you are excited to move into your new home. But trust us, we do this to protect you.  You see, in the event a third party files a lien against the property at the last minute, we do a last minute update search and will find it, protecting you and your new home.  A few potential reasons why the Deed might not get to the Register of Deeds (ROD) on the same day as the closing might include:

 

  • Seller mailed their documents, and they did not arrive until the next day;
  • Seller did not sign until late in the day and the ROD closes at 4:30pm; or
  • Buyer had a loan and lender did not give funding approval until after 4:30pm.

 

The best way to deal with the possibility of the Deed recording being delayed is to hope for the best and plan for the worst. During your negotiations with the Seller, discuss the possibility of a Pre-Occupancy Agreement.

 

  1. You may be responsible for tax bills that still have the Seller’s name on them.

 

In Horry County, taxes are paid in arrears. This means that if you buy a property between January and October, the taxes will be prorated on your Settlement Statement, but the prorations are an estimate based on the previous year’s tax bill.

 

Your tax bill may not be exactly the same—and you, as the buyer, are responsible for paying the taxes when they become due in December. This is sometimes confusing because the tax bills usually still have the Seller’s name on them since the tax authority does not change their records until January of the next year. So, in other words, don’t forget to pay the taxes in December of the year you purchased the property.

 

  1. You must request the primary residence tax rate.

 

If the property you are purchasing will be your primary residence, you MUST request the 4% tax rate yourself in order to get the primary residence rate. It takes 4-6 weeks for the tax office to process your request. If you fail to file your request, you will likely be taxed at the 6% rate.  If this happens, you usually have to pay the bill, then request a redemption.

 

  1. If the property is an investment property, you must file personal property taxes each year.

 

If the property is an investment property, in order for the County to properly bill the Furniture, Fixtures, and Appliances tax, you must file personal property taxes each year. If you fail to file, the County will assess you a rate themselves, which will likely be much higher than it would have been had you filed your personal property tax forms.

 

These are just a few things to keep in mind as you prepare to close on your new home. If you choose to work with us for your closing, we will guide you through all the details of the process and do our best to ensure the closing process is thorough and efficient.

 

Comments are closed.

Copyright © 2018 - All right reserved. Grand Stand Law Group