From Reservation To Closing At The Groves

Buying a new home at The Groves is exciting, but the process from reserving a lot to getting your keys can feel complex. You want a smooth closing, clear costs, and no last‑minute surprises. In this guide, you will learn each step, who does what, what to review, and Houston‑specific items that can affect your timeline and budget. Let’s dive in.

Who’s involved in your purchase

Several parties help you get from reservation to closing in The Groves:

• You and your agent, if you choose representation. In Texas, agents provide the TREC Information About Brokerage Services form.
• The builder and on‑site sales representative who manage your contract, selections, and construction.
• Your lender or mortgage broker, who handles preapproval, appraisal, underwriting, and your Closing Disclosure.
• The title company and escrow officer, who hold earnest money, issue the title commitment, facilitate closing, and record documents with Harris County.
• The HOA or developer‑controlled HOA, which provides covenants and budgets, and collects transfer fees and dues.
• Inspectors and any third‑party warranty providers.
• Local authorities such as the City permitting office for the Certificate of Occupancy and the Harris County Appraisal District for property taxes.

Step‑by‑step timeline: reservation to keys

Every builder has its own process, so confirm exact dates with The Groves sales office and your lender. Here is the typical flow.

1) Reservation or lot hold

• You place a reservation or lot hold fee to take a homesite off the market while you finalize your contract and selections. Fees vary and may be refundable or non‑refundable, depending on the builder. Make sure the contract specifies how the fee applies to earnest money or price.
• Ask for written terms that explain refundability, expiration, and what happens if you change plans.

2) Contract signing and earnest money

• You sign the builder’s new‑home contract or a TREC new‑home form. It sets construction timelines, options, allowances, and contingencies.
• Earnest money is usually deposited with the title company named in the contract. Confirm deadlines for delivery and conditions for refund or forfeiture.

3) Selections and change orders

• You make design choices such as flooring, countertops, appliances, and fixtures. Builders often require deposits for upgrades beyond the base plan.
• Ask for the cut‑off dates for selections and change orders, how pricing is set, and when balances are due.

4) Financing and appraisal

• You lock your loan, submit documents, and your lender orders an appraisal.
• Your lender must deliver a Loan Estimate early and a Closing Disclosure at least 3 business days before closing for most fixed mortgages. Compare these carefully to confirm fees and cash to close.

5) Construction and inspections

• If allowed, schedule independent inspections at key phases such as pre‑slab, pre‑drywall, and final. Confirm builder guidelines and scheduling windows.
• Closing normally occurs after the home receives a Certificate of Occupancy or an approved temporary CO as permitted. Verify the builder’s practice for your home.

6) Final walkthrough and punch list

• You and the builder do a walkthrough a few days before closing. Note punch list items in writing with target timelines.
• Many builders address minor items after closing through the warranty program. Negotiate any critical items that must be resolved before closing.

7) Closing day and funding

• At the title company, you sign loan and title documents. Funds are disbursed after lender approval and recording with the Harris County Clerk.
• You usually receive keys at funding and recording. Confirm your builder’s procedures.

8) After closing

• Transfer utilities, register warranties, set up your HOA account, and file for your homestead exemption with the Harris County Appraisal District when eligible.
• Watch for your HCAD appraisal notice and note protest timelines if you plan to appeal.

What your closing costs may include

Every transaction is different, but most buyers at The Groves can expect these categories:

• Loan costs: origination, appraisal, underwriting, and credit report fees.
• Title charges: title commitment, owner’s title insurance, lender’s policy if financed, and recording fees.
• Survey: lenders may require a new or updated survey. Ask early so you can budget.
• HOA costs: transfer and processing fees, plus your first dues payment.
• Prepaids and escrows: homeowner’s insurance, tax escrows, and initial property tax prorations.
• Builder costs: lot premiums, option upgrades, change order charges, and any admin or closing package fees.
• Inspections: third‑party phase inspections and final inspection.

Texas does not impose a state transfer tax, though county recording fees apply. Your title company will provide a detailed estimate once your contract and lender details are set.

Understanding Texas property taxes, MUDs, and prorations

• Taxes are paid in arrears in Texas. At closing, taxes are prorated so the seller covers their portion of the calendar year before closing and you cover the remainder. The title company handles the math.
• The Groves may be served by a Municipal Utility District. If a MUD applies to your lot, you will pay both county property taxes and a separate MUD tax used to finance utilities and drainage. Ask for the current MUD tax rate, bond debt, and any projected changes, because these affect your annual cost of ownership.
• After closing, contact HCAD to confirm your property information and file for exemptions such as homestead when eligible. Note the annual deadlines so you do not miss the current year.

Inspections and warranties for new builds

New construction benefits from professional inspections too.

• Recommended timing: pre‑drywall to see framing, wiring, plumbing, and HVAC runs, then a final inspection before your walkthrough. Some buyers add a separate roof inspection.
• Builder rules: confirm whether the builder requires their representative to attend or limits access at certain phases.
• Typical warranty structure: many builders offer 1 year for workmanship and materials, 2 years for systems, and 10 years for major structural components. Confirm what your builder provides and how to submit service requests. Register any third‑party warranties after closing.

Title, surveys, and what to review

Your title company will issue a title commitment before closing. Read it carefully and ask questions.

• Exceptions and easements: understand utility easements, drainage, and any use restrictions that affect fences, patios, or pool placement.
• Owner’s title insurance: consider purchasing an owner’s policy for long‑term protection against covered title defects.
• Survey and plats: verify lot lines, setbacks, and encroachments. Make sure the recorded plat and CCRs align with your plans for future improvements.

HOA documents and your rights

Before closing, review the HOA covenants, conditions and restrictions, bylaws, rules, budgets, and any architectural guidelines.

• Costs: confirm transfer fees, initiation fees, and recurring dues. Clarify how dues are billed and when they increase.
• Use and design rules: understand guidelines for exterior changes, parking, and landscaping.
• Governance: check whether the HOA is still under developer control and when owner elections are expected.
• Contractual rights: your builder typically provides HOA disclosures. Ask whether you have a review period and any cancellation rights tied to those documents.

Houston and Harris County items to check

• Flood risk and insurance: review FEMA flood maps and consider an elevation certificate if the lot is near a special flood hazard area. Even outside high‑risk zones, many Houston owners choose flood insurance because localized flooding can occur.
• Utilities and service setup: confirm whether your home is served by a MUD or city utilities. Ask your builder which providers handle electric, water, sewer, and trash, and how transfers work.
• Certificate of Occupancy: verify whether closing will require a CO or if a temporary CO may be used, and how that affects move‑in.
• Stormwater and drainage: ask the builder about neighborhood drainage and detention design, and any maintenance obligations you have as an owner.

Your closing day checklist

Arrive at closing prepared so funding is quick and stress‑free.

• Final funds: confirm your exact cash to close with the title company the day before. Most title companies require a wire transfer for larger amounts.
• Wire safety: always call the escrow officer at a verified phone number to confirm wire instructions before sending funds. Never rely on emailed instructions alone.
• Identification: bring two valid IDs if requested by the title company.
• Walkthrough sign‑off: carry your punch list and confirm how and when items will be addressed after closing.
• Insurance: provide your homeowner’s insurance binder to the lender, and if required, flood insurance proof before closing.

After closing: first‑week action plan

• Utilities: confirm all accounts are in your name, including trash and any gas service.
• HOA: register your account, set up dues payments, and save contact details for community management.
• Warranties: register builder and third‑party warranties and note service request procedures and time limits.
• HCAD: submit your homestead exemption when eligible and mark your calendar for appraisal notices and protest deadlines.
• Home file: keep your title policy, survey, CO, HOA documents, and Closing Disclosure together for easy reference.

Buying in a master‑planned community should feel organized and predictable. With the right plan, you can enjoy your new home at The Groves while avoiding common surprises. If you want a friendly, high‑touch guide for your next move in Texas, the team at Debbie French Real Estate Group is here to help you move with confidence.

FAQs

What is a lot reservation at The Groves and is it refundable?

• A reservation temporarily holds a homesite while you finalize your contract and selections. Refund policies vary by builder, so ask for terms in writing before you pay.

When will I receive my Closing Disclosure for a new home in Houston?

• For most financed purchases, your lender must provide the Closing Disclosure at least 3 business days before closing so you can review final numbers and cash to close.

Do I need inspections on new construction at The Groves?

• Yes, independent phase inspections are recommended. Common milestones are pre‑drywall and final, with scheduling subject to builder guidelines.

How are Harris County property taxes handled at closing?

• Taxes are prorated since Texas bills in arrears. The seller covers their share up to closing, and you cover the remainder, with exact amounts on your settlement statement.

What is a MUD and how does it affect my payment?

• A Municipal Utility District finances neighborhood utilities and drainage. If your lot is in a MUD, you will have an additional MUD tax on top of county property taxes.

What paperwork should I review before closing on a new home?

• Review the title commitment and exceptions, survey, HOA covenants and rules, warranty terms, and your Closing Disclosure. Ask questions early to avoid delays.