Friday Q&A: WHAT IS A REAL ESTATE CLOSING?

By
Services for Real Estate Pros with American Home Shield

 

 

Closing WHAT IS A REAL ESTATE CLOSING?

 

 

 A “closing” is where you and I meet with some or all of the following individuals: the Seller, the Seller’s agent, a representative from the lending institution and a representative from the title company, in order to transfer the property title to you. 

The purchase agreement or contract you signed describes the property, states the purchase price and terms, sets forth the method of payment, and usually names the date and place where the closing or actual transfer of the property title and keys will occur. 

 

 

 If financing the property, your lender will require you to sign a document, usually a promissory note, as evidence that you are personally responsible for repaying the loan.  You will also sign a mortgage or deed of trust on the property as security to the lender for the loan. 

The mortgage or deed of trust gives the lender the right to sell the property if you fail to make the payments.  Before you exchange these papers, the property may be surveyed, appraised, or inspected, and the ownership of title will be checked in county and court records.

 

 

At closing, you will be required to pay all fees and closing costs in the form of “guaranteed funds” such as a Cashier’s Check.  Your agent or escrow officer will notify you of the exact amount at closing.

 

Posted by
 

 

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Tags:
property
closing
sale
escrow officer
title company
transfer
closed

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Rainmaker
624,639
Associate Broker Falmouth MA Cape Cod Heath Coker
http://www.CapeGroup.com & http://www.REindex.com - Falmouth, MA
Heath Coker Robert Paul Properties Falmouth MA

Here in MA, our closings are at the registry of deeds, a lawyers office, the real estate office, or wherever the parties agree to meet - even on the beach.  Then the papers are recorded in the Registry Of Deeds of the county where the property is located. We don't have title companies here like they do in TX.

Jul 29, 2011 10:26 AM #1
Rainmaker
422,551
Dennis Burgess
AmeriTeam Property Management - Mid Florida, FL
Orlando Property Manager and Realtor

Hi, Jen:  Very good description of things- of what I first knew as "swapping papers".  There's surely no shortage of folks in this business who like to make things seem a lot more complicated than they are- so it's always good to see folks explain things in layman's terms that are easily understood.  

One thing I might add to your information would be something about yard signs- whether it's that the a "For Sale" sign is to be taken down prior to the closing, information about how the buyer may give permission for the sign to remain with a "Sold" rider on it for x days, etc.

Jul 29, 2011 06:04 PM #2
Post a Comment
Spam prevention
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainer
51,837

Jen Giraud

Need more information?
*
*
*
*
Spam prevention