You'll likely have numerous questions about the process when you have never bought or sold a home.
One of the more common questions is how long a real estate closing takes to complete. I am not talking about the length of the entire process of buying or selling a house, but the time frame buyers and sellers sit at a closing table.
A real estate closing is an essential step in purchasing a property. It can be a complex process that requires attention to detail and careful consideration of crucial factors.
You with a detailed outline of everything you need to know about a real estate closing, including the property settlement, closing time frame, and length of real estate closing.
We will examine what you need to know about how long closing day takes for buyers and sellers. Hint it is not the same.
What is a Property Settlement or Real Estate Closing?
A property settlement or real estate closing is the final step of the home buying or selling process. It is the point at which the buyer takes possession of the property, and the seller receives their settlement funds.
During the closing, the buyer and seller sign several documents, including the deed, mortgage, and other legal agreements.
The closing process typically occurs in the presence of a closing agent or the lender's real estate attorney overseeing the transaction. The closing agent ensures that all the necessary paperwork is in order and that the buyer and seller understand the terms of the sale.
Closing agents also collect and distribute funds, including any down payment or earnest money, closing costs, and other fees.
The length of the closing process can vary depending on several factors, such as the complexity of the transaction, the number of parties involved, and the type of financing.
It is also possible a buyer could have their attorney attend the closing. The seller is likely to have their attorney attend with a POA.
How Long Does a Closing Take For a Buyer?
On average, a real estate closing can take anywhere from one to two hours for a straightforward transaction. The more complex the transaction is, the longer it will take. If there are any kinds of disputes between the buyers and sellers, it could take longer to complete.
Buyer's and seller's attorneys can sometimes be left to negotiate issues that have come up before the closing. Some of the seller's funds may occasionally be put into escrow to resolve the problems. It is known as an escrow holdback.
Closings are much longer for buyers than sellers when a mortgage is granted. Lenders have a significant number of documents that buyers must sign to complete the transaction.
If a buyer is paying cash for a property, closing day can be completed much shorter.
How Long Does It Take For a Seller to Close on a House?
Unlike buyers, the closing day for a seller is generally much shorter. In most cases, sellers only have to sign a few documents and hand over the keys to the property. The time it takes for a seller to close on a house can be as little as 30 minutes, depending on the complexity of the transaction.
In some cases, the seller may not even attend the closing and instead gives power of attorney to their attorney or a representative to sign on their behalf. This is especially true if the seller has already moved out of the property or is in a different state or country.
It's important to note that the time frame for a seller to close on a house can vary depending on the terms of the sale.
For example, if the seller has agreed to make repairs or provide additional documentation, the closing may take a bit more time for everyone to check that these agreements have been satisfied.
Final Thoughts on a Real Estate Closing Time Frame
Overall, a real estate closing is a crucial step in the home buying or selling process, and it is important to have a clear understanding of what to expect.
By working closely with your agent or attorney and being prepared with all the necessary documentation and funds, you can help ensure a smooth and successful closing experience.
Once the closing has been completed, the deed will be delivered to the local registry of deeds. It is the final step in the closing process. Once the deed is recorded, you'll be the proud owner of a new home.