THE CLOSING OF YOUR LOUISVILLE DREAM HOME
HERE'S HOW IT WORKS:
- Closings are often held at the title company’s office but are may be at the real estate office or some other acceptable location.
- Funds that buyers or sellers will pay or receive are detailed on a standard form called a HUD-1. All expenses or proceeds to both parties are shown on this 2-page form.
- In most cases, buyers and sellers are both present, along with an attorney.
- Realtors® and lenders don't have to be present, but usually are.
- Typically, sellers will sign the deed of the property over to the buyers in front of the attorney.
- Buyers will sign the mortgage -- an 18-page standard document which pledges the home to the lender as collateral for the loan.
- Attorneys will collect up-front payment from buyers to fund "escrow accounts", which enable the lender to pay your homeowners insurance, property taxes, etc.
- Both parties will be asked to sign many legal forms -- disclosures, agreements to let the attorneys correct any errors discovered after the closing, etc.
- Realtors® are paid by closing attorney out of the sellers' proceeds.
- Sellers walk away from the closing table with a check, and the buyers with keys to their dream home!
It sounds complicated, and it is -- but all of this is done by people who do it every day. It's made simple for the buyer and seller by the Realtor® and his/her trusted associates.