The last stop on the long road to homeownership is the day of settlement, when the home is transferred to your name. This process, often called closing, usually occurs in a lawyer's office, and it's a relatively formal meeting. You sign many papers and exchange money for keys. It can be a very cordial meeting. On the other hand, it could develop into a fistfight, with the attorney serving as referee between the buyer and seller.

In an effort to ensure the former, I have prepared a list of steps you can take ahead of time to help avoid misunderstandings.

1. Working with your agent, make sure all contingencies in the sales agreement have been satisfied or removed. Has the loan been approved? Does the lender have any special requirements? Did the home pass inspection? Are all required repairs complete and have they been inspected? All these questions will be asked at closing, and you'll need to know the answers.

2. Make sure all parties agree on dollar amounts in advance. This is often a serious point of disagreement and can easily cause delays in the settlement. Agents can provide help. How much will the seller get at closing? How much money do you, the buyer, need to bring? Remember to always bring only certified funds, such as a cashier's check or bank money order. And bring a larger amount than you think you'll need. The closing attorney will refund the difference but may not be able to take a personal check for the shortfall.

3. Confirm all loan details with your lender before going to the closing table. Check the interest rate, the discount points, the closing costs and all lender and attorney fees ahead of time. The closing attorney may not have authority to make changes on the day of settlement, and there will be tremendous pressure on you to accept whatever is presented to you.

4. Ask for and get a completed settlement statement and sample documents from the closing attorney the day before the closing is to take place. Occasionally, there are reasons why such a statement may be incomplete, but most of the numbers are known well in advance. Compare these numbers with the figures on your "good faith estimate," which you received at loan application. They should match perfectly. If not, ask why. Having access to these figures allows you to familiarize yourself with the forms and actual numbers, and seeing all the documents early avoids surprises.

5. Talk with the closing attorney ahead of time about the title examination and the property survey. Did you remember to buy owner's title insurance and is it reflected on the settlement statement? Does the survey reveal any encroachments on the property boundaries? Problems in these areas are unusual, but, if they arise, can be extremely expensive and time-consuming to resolve.

6. Obtain and submit your new homeowners insurance policy directly to the closing attorney before the day of closing. Ask the closing attorney to list it on the settlement statement. Sometimes lenders demand special wording in the "loss payee clause," and the insurance companies won't provide it automatically. If the lender refuses to accept the policy, you will not be allowed to close until a new policy is issued.

7. Don't wait until closing to look at the state-approved termite clearance letter. This letter states that the house has never had termites, or if it did, it doesn't now. Sellers often wait to the last minute before requesting their inspection, then have to rush to get a treatment. Instead, have the seller submit the termite letter to the closing attorney at least one week before closing and get a copy for yourself. If the letter calls for an additional inspection or a termite treatment, the seller will need the extra time to have this work performed.

8. Confirm all details of possession with the seller in accordance with the purchase agreement. Here again your agents can earn their commission. If verbal changes have been agreed to, put them in writing as an addendum. Moving in and out of houses is a very complicated process subject to last-minute changes, and only a written change in the contract is binding on the seller and you. It's also a good idea to ask the attorney to verbally review the possession details at the closing table to remind the seller of his or her obligations.

9. Finally, you and your agent should have a final walk-through of the house several days before closing to make sure the house is in substantially the same condition it was on the day the contract was signed. If you are buying a new home, insist that the builder complete all major work on the house before closing, not afterward. The builder's "punch list" of work to be done after closing should contain only minor cosmetic work. Some builders lose motivation after they have been paid for their work.

John Adams is a broker and investor. You can visit his Web site at www.money99.com.