What is closing?
Closing or 'settlement' is the process of completing a real estate transaction. During closing deeds, mortgages, leases or other required instruments are signed or delivered. Furthermore accounting between parties is made, monies are disbursed and all pertinent documents are recorded .
Do I need to bring anything?
Yes.
Sellers please bring the following:
- Current Government issued Photo Identification
- Keys and any garage door openers to the property
- Any unpaid tax, water, or sewer bills
- Warranties transferable to the Buyer
- Cashiers or Certified Check payable to Carnanco Land Transfer, Inc. if your sale price will not cover all payoffs and closings costs.
- Any other documents requested in the Title Commitment
Buyers please bring the following:
- Current Government issued Photo Identification
- Cashiers or Certified Check payable to Carnanco Land Transfer, Inc. if your loan amount will not cover all closings costs.
- Homeowners Insurance Declaration and a one year pre-paid receipt or bill to be paid at closing.
- Review your loan commitment letter from your lender prior to closing. There may also be other conditions that may need to be satisfied at or prior to closing.
- Any other documents requested in the Title Commitment
Refinancers please bring the following:
- Current Government issued Photo Identification
- Any unpaid tax, water, or sewer bills
- Cashiers or Certified Check payable to Carnanco Land Transfer, Inc. if your loan amount will not cover all closings costs.
- Homeowners Insurance Declaration and a one year pre-paid receipt or bill to be paid at closing.
- Review your loan commitment letter from your lender prior to closing. There may also be other conditions that may need to be satisfied at or prior to closing.
- Any other documents requested in the Title Commitment
How long will settlement take?
This varies depending on the particulars of a transaction, but usually settlement will take about 1-2 hours for a sale and about 20-40 minutes for a refinance.
Who attends settlement?
With a sale the buyers, sellers and their respective attorneys and real estate agents will attend. Most lenders forward their documents and instructions to the title company without sending a representative. For a refinance, usually only our settlement officer and the borrowers need attend.
Do I need to be present at settlement?
We prefer you to attend personally. When this is impractical, it may be possible to prepare a 'Power of Attorney,' which will allow someone else to sign the documents on your behalf. The Power of Attorney document must be reviewed and approved by the title company (and lender if Power of Attorney is for the borrower) prior to settlement and the original Power of Attorney will have to be recorded.
Who does the title company represent at settlement?
The title company does not represent any one party. The transaction has already been negotiated and we are there to ensure the terms are complied with to the extent they affect the insurability of title or are required by the lender.
What happens at settlement?
In a nutshell, the title company completes the settlement in accordance with the terms and conditions of the Agreement of Sale and Mortgage Company instructions. They prepare the final HUD-1 (settlement sheet), make sure all documents are properlyand makes all of the disbursements in accordance therewith, and forwards the executed documents to the appropriate parties.
What is a HUD Settlement Statement (HUD-1)?
This is a summary of the financial portion of the real estate transaction. The HUD will list the purchase price, loan amount and closing costs for both buyer and seller and show all pro-rations and sums to be disbursed by the title company to all parties.
What is pro-ration of property taxes?
This is the process of crediting either the buyer or seller for their share of real estate taxes either paid or owing as of the date of settlement.
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