Mortgage funding: the moment the loan actually happens

Signing ≠ funding ≠ recording

Three separate events happen at the end of a purchase:

1. Signing: You sit at the title company (or with a mobile notary) and sign 40–60 pages of loan and closing documents.

2. Funding: The lender wires the loan amount to the escrow/title company. This can happen same-day as signing (wet states) or 1–3 days after (dry states).

3. Recording: The title company records the new deed and mortgage/deed of trust with the county. This transfers legal ownership.

You don't officially own the home until recording. You don't get keys until funding is confirmed. In most cases, all three happen the same day or within 24 hours.

Wet vs dry funding states

Wet-funding states (most of the country): The lender wires funds to escrow the same day you sign. Recording happens same day or next business day. You typically get keys at signing or same afternoon.

Dry-funding states (parts of the West — Alaska, Arizona, California, Hawaii, Idaho, Nevada, New Mexico, Oregon, Washington): The lender reviews signed documents before wiring. Funding usually happens 1–2 business days after signing. Recording follows funding. You typically get keys at funding, not signing.

Ask your loan officer up front which regime applies. It affects when you can plan the move.

What can go wrong on funding day

The most common last-minute issues:

• Wire delay. The lender's wire didn't hit by cutoff time (usually 2–3 PM local). Funding slips to next business day.

• Post-signing audit hold. Lender's post-closing team spots an issue and holds funding pending correction.

• Seller wire not received. If the seller has an outgoing wire (payoff of their mortgage), funding to them can lag your recording.

• Homeowners insurance not bound. Lender won't fund without proof of active insurance.

Most issues are minor and resolve within 1–3 business days. Plan for a 24–48 hour buffer between signing and moving day when possible.