Preparing for a Property Closing: 8 Steps for a Smoother Transaction
The price has been agreed and both buyer and seller are happy to proceed. It may feel as though only the signatures remain, but it is too early to celebrate. Closing still requires careful coordination of written agreements, payments, documents and handover.
These eight steps help everyone understand what needs to happen next.
1. Put the agreement in writing
After a verbal agreement, record the main terms in a written draft: the parties’ identities, property details, price, payment arrangements, allocation of costs, target date for the sale deed (AJB), and the dates for vacating and handing over the property.
Both parties should understand and agree to the terms before signing. Clear written terms help prevent misunderstandings, but do not replace legal checks or the formal deeds required for the transaction.
If a preliminary sale and purchase agreement (PPJB) is needed, discuss its form and terms with the notary. The initial agreement can help inform the PPJB; additional documents depend on the transaction. We will discuss PPJBs in a separate article.
2. Keep evidence of every payment
Document the reservation payment (UTJ), deposit or down payment (DP), instalments and final settlement. Keep receipts or acknowledgements alongside transfer records and confirmation that the funds have been received.
Each record should state the date, amount, purpose, payer, recipient and property. Agree in writing on how the UTJ will be used or refunded.
Do not assume that an AJB always replaces a final payment receipt. Confirm the payment records with the PPAT and retain complete evidence of settlement.
3. Collect the buyer’s, seller’s and property documents
Ask the notary or Land Deed Official (PPAT) handling the transaction for a requirements list. This may include identity documents, marriage documents where relevant, the title certificate, tax records and other supporting documents.
Requirements vary. Inherited property, transactions through a representative, or property still securing a bank loan may need additional documents. Collect them early so missing items can be resolved before signing.
4. Set out the payment schedule and transaction stages
Create a timeline showing dates, payment amounts, responsibilities and the conditions to be met at each stage.
Include document checks, mortgage processing where applicable, tax payments, signing the AJB and handover. Record any changes and obtain the parties’ agreement so everyone works from the same schedule.
5. Keep the agreement clear and balanced
Explain the buyer’s and seller’s rights and responsibilities. Address delays, cancellation, refunds, dispute resolution and the consequences of failing to fulfil obligations.
For a purchase using a mortgage, explain what happens if the application is declined. Avoid one-sided or impractical terms, and ask the notary to review clauses with legal consequences.
Communication can be flexible, but important changes to the agreement should still be recorded in writing.
6. Coordinate with the notary, PPAT and bank
Keep in touch with the notary, PPAT and mortgage bank, if involved. Update the buyer and seller on certificate checks, document requirements, tax processing, and the time and place of signing.
For land sales, the AJB is prepared by an authorised PPAT. A person may hold both notary and PPAT roles, but these are distinct powers.
Report progress based on confirmation from the professional handling the process. Avoid promising completion dates before the requirements and schedule are confirmed.
7. Monitor vacating and handover
Agree when the property will be vacated and the keys handed over. Clarify the property’s condition, items included in the sale and any agreed bills or obligations to be settled.
Prepare a handover record stating the date, number of keys, property condition and any outstanding matters. Record the transfer of important documents too, so both parties share the same understanding.
8. Confirm readiness before signing the AJB
The day before signing, remind the buyer and seller of the time, location, people who must attend and original documents requested by the PPAT.
KTP, KK, and marriage or divorce documents may be needed depending on the parties’ circumstances. Follow the PPAT’s final list, including spousal consent, powers of attorney or other documents where relevant.
Give each party an opportunity to read and understand the deed before signing.
A good closing involves more than signatures. Clear coordination of documents, payments, schedules and handover helps buyers and sellers proceed with greater confidence.
Need help buying or selling property in Bekasi and Bogor? Contact Cahaya Metta Properti on WhatsApp.
This guide covers general transaction coordination. Confirm the requirements for your transaction with the notary or PPAT handling it. Reference on PPAT deeds: Government Regulation No. 24 of 1997, Article 37.
