What Should You Expect From a Real Estate Closings?
Buying a property can be a complex process, especially if this is your first time in real estate closings. Knowing what to expect is crucial to simplify the process and make it easier for you to get help when you need it.
Settling of Outstanding Debts
The original property owner (and the seller) will need to settle any debts that may have been acquired on the property before the final transfer. If there is an outstanding balance that the buyer will be covering, they need to provide proof of funds to ensure that the property won’t foreclose without transparency.
The buyer may take out a loan to purchase the property, in which case the mortgage documents need to be shown at this stage. If a mortgage is being paid off, the title company in charge will ask for a payoff statement from the mortgage lender (or whoever settles the debt). The outstanding balance, along with interest, will be highlighted in this statement.
There might be many title companies in South Florida, but all of them will ensure that the title is transferred to the buyer by the closing date. The buyer may also need to show that they have insurance on the property for the transfer to happen. You don’t need to worry about the paperwork required for the title transfer, as the title company will take care of it.
If outstanding liens are on the purchased property, they must be settled by the closing date. The buyer is responsible for ensuring that these outstanding payments have been settled.
There are specific costs related to the property closing, like transfer taxes. Both the buyer and seller are jointly responsible for paying these closing costs related to the actual sale of the property. The payment division is discussed beforehand so both parties know what they need to pay. The buyer may also be responsible for paying other extra costs, like a real estate agent’s commission, if they have hired one.
Finalization of Contract
The sale contract is a legally binding contract that will finalize the property sale. The terms of the sale will be clearly outlined in the contract, and both parties are expected to go through it before signing. Once the contract is signed, the buyer becomes responsible for paying any outstanding balance on the selling price.
The title company will transfer the title, and the process will be considered complete. The buyer can enjoy their home without worrying about title fraud, and the seller can walk away with their profit.
Looking for An Expert in real estate closings? We’re Here to Help
Understanding the title transfer and ownership process in South Florida is challenging, which is why Nationwide Land Title is here to help. Our experts have been working in the title industry for years and can help you in any situation, no matter what hiccup you face. Call us today at 954-755-8210 to get a title quote.