House Closing for Sellers

House closing, the last phase in your home selling process, is when the documents and money are transferred from buyer and seller. This process includes handing over the ownership of the property to the buyer.

After finishing the negotiations and you have accepted an offer from a buyer, you need to take care of some things. The full closing process from the initial offer acceptance to the closing date takes an average of 50 days. The house closing process need not be difficult. Your real estate agent will be there to help you through the process. Here are answers to common questions that sellers like you may have.

Title Search and Insurance

Your real estate agent will order a title search. A title search is a review of public records to ensure that you are the legal owner of the property you are selling. If there are any claims or judgments against the property, the title search would show them. Any issues should be resolved before the house is transferred to the buyer .

Title Insurance is an indemnity insurance that protects the holder from financial loss sustained from defects in a title to a property. It protects owners and lenders against loss or damage stemming from liens, encumbrances, or title defects.

Open an Escrow Account

The best way to prevent either the seller or buyer from fraud is to bring a neutral third party. The escrow account that is held by a third party on your and the buyer’s behalf can hold all the money and documents related to the transaction until everything has been settled.

Final Walkthrough

Thereafter, a day before closing date, the buyer and his agent will walk through your property one last time. The buyer will check that all required repairs have been made. Also, the property is checked if it is clean and damage-free, and that your possessions have been removed.

Finalizing the Sale on the Closing Date

Lastly, the closing date is when the ownership is officially transferred from the seller to the buyer. The closing typically takes place at the title company, office of the escrow company, an attorney’s office, or the buyer’s or seller’s agent’s real estate office. The list of legally mandated attendees will depend on your state. Attendees are:

  • your real estate agent
  • the buyer
  • the buyer’s real estate agent
  • a title company representative
  • loan officer
  • real estate lawyers involved with the transaction

Sign your closing documents:

  • HUD-1 Form
  • The Deed
  • Bill of Sale
  • Statement of Closing Costs
  • Statement of Information

Don’t forget to bring:

  • house keys
  • garage remotes
  • mailbox keys, gate keys, and any pool keys
  • government-issued photo ID
  • any outstanding documents and paperwork your lawyer or escrow agent instructs you to bring.

After finalizing the closing, the buyer will receive the ownership of the house and you will get your money. It’s time to celebrate!