Title Company Insights
Essential Guide for a Seamless Real Estate Closing
Critical Alerts & Key Preparations
ALWAYS independently verify wiring instructions by phone using a known, trusted number for the title company. NEVER trust instructions from unsecure emails or last-minute changes without direct voice confirmation. Be extremely cautious!
Promptly provide all requested information: full legal names, contacts, SSNs, marital status, mortgage payoffs (Sellers), lender details (Buyers) to prevent delays.
These confirm owner's dues, assessments, and any violations. The title company orders them; delays in receipt can stall closing.
These searches uncover unrecorded city/county liens, code violations, open permits, and unpaid utilities. Any issues found must typically be resolved by the Seller before closing.
Financial & Legal Essentials
Buyers with loans receive the CD at least 3 business days before closing. All parties should meticulously review their settlement statement and ask questions before closing day.
Sellers: If the property is homestead, both spouses typically must sign closing documents. Buyers: Inquire about filing for homestead exemption after closing for tax benefits.
If the Seller is a "foreign person" as defined by FIRPTA, tax withholding may be required. The title company plays a key role in ensuring compliance.
Be aware of new laws restricting certain foreign buyers. Buyers MUST provide a signed affidavit at closing confirming compliance.
Navigating to Closing Day
Property taxes, HOA/condo dues, rent (if applicable), etc., are equitably divided between the Buyer and Seller as of the closing date by the title company.
The Buyer has the right to inspect the property's condition immediately before closing, as per the ASIS-7 Contract (Para 12(b)).
All signatories must bring a valid government-issued photo ID. Buyer's funds must be a wire transfer or certified funds, as per title company instructions. Discuss remote/mail-away options if needed.
This is the time between closing/funding and when documents are officially recorded. Title insurance often includes "gap coverage" for protection during this interim period.
Post-Closing & Communication
The title company records the deed and mortgage, disburses funds to all parties, and issues the final Owner's and Lender's title insurance policies (this can take several weeks or months).
Maintain clear and prompt communication with the title company. Inform them early of any potential issues (e.g., recent divorce, death of a titleholder, bankruptcy, judgments, unpermitted work).