The Closing Process

Holding “Title” to a property is the term used in real estate to show your legal interest in the home you’re purchasing. Often times the rights or interest in a property will be held by more than one party. A mortgage company is the most common example of another party that might hold an interest in your property. Once you’ve found a home and have a final agreement to purchase, your realtor or lender can recommend a title company to handle your closing. The title company you choose will need information from you, your lender, and your agent to complete the title work. Conducting a title search is one of their primary goals. A title search will show the history, or chain, of title transfers as recorded in the public record. This title search will also uncover any liens or encumbrances that may exist on the property. After your title search and closing documents are completed, your closer will send a final expenses statement, called a HUD 1 closing document, for your review. Getting the Clear-to-Close notice from your closer is the last piece to your home buying puzzle. Congratulations on your New Home Purchase!

As a home buyer you have the right to chose any the title company you feel is right for you. It’s important to note that a Title Insurance policy is the best way to protect your investment, should a dispute about the ownership or title to the property arise at any time in the future.