THE BASIC STEPS AT CLOSING
The Basic Steps At Closing
Closing the real estate transaction is basically the investigation made or actions taken by either a title agent or title attorney before the actual issuance of the title policy. There are five necessary steps that usually followed in somewhat the same order in every real estate transaction.
Step 1 Starting the process
After a sales contract is signed, the file begins to be processed. Tax information, loan payoffs, surveys, homeowner/maintenance fees, inspections/reports, and hazards, and other insurances, as well as a title order is issued.
Step 2 Title search and examination
This is the examination of the documents found during the title search that affect the title to the property.
Step 3 Document preparation and/or request to produce
This is the examination of the documents found during the title search that affect the title to the property.
Step 4 Settlement/closing the transaction
This is the examination of the documents found during the title search that affect the title to the property.
Step 5 Post-closing
After the signing has been completed, the escrow/settlement agent will forward payment to any prior lender and pay all parties who performed services in connection with your closing (if they have not been paid). The transaction documents are recorded in the county in which the property is located. Title insurance policies are prepared and sent to the new lender and to you. This all happens without any further actions by the buyer or seller.
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