Hey, what happens at a home closing...sellers and buyers???

Dated: 05/26/2020

Views: 74

 

Today, I have a closing. My clients are the Sellers...So what is a Closing?

 Closing or Settlement is when the house buyer and seller fulfill all of the agreements made in the sales contract. In more literal terms, it is about the transfer of money and documents so that the seller can transfer ownership and possession of the property free and clear to the buyer. In Utah we use Title companies; they generally act as the combined agent of the insurance company, the buyer, the seller, and any other parties related to a real estate transaction, such as mortgage lenders. The title company reviews title, issues insurance policies, facilitates closings, and files and records paperwork.

 To make this process secure and enable all of the parties involved to treat all of the closing tasks as having taken place simultaneously, you will most likely hire a disinterested third party, called a “settlement agent” or “escrowee.” The escrowee will take in all of the documents, money, and other items needed to close from the parties assigned to furnish them, pay out the money necessary to clear title, pay off all of the old lenders and lienholders, and pay the sales agents and other service providers.

Again remember this is performed, so that the new buyers can have a clear title...

The seller does not have to be present at the buyers' closing. It is a common misconception that all the parties must sit around the table together at closing and exchange documents and keys. ... The truth is the buyers and sellers meet separate. Once the home has been funded, meaning the funds have been received to pay the sellers and the county or other local government entity has recorded the deed, then the keys are turned over to the new buyer...

The seller will need to bring ID and provide a bank account number and routing number so the funds after all fees are paid can be deposited into their account. 

Closing costs are an assortment of fees—separate from agent commissions—that are paid by both buyers and sellers at the close of a real estate transaction. In total, the costs range from around 1% to 7% of the sale price, but sellers typically pay anywhere from 1% to 3%, according to Realtor.com.

How Much Can a Buyer Expect to Pay and what do they bring to closing? Closing costs to buy a home typically run from about 2% to 7% of the purchase price, with an average of around 3%. Much depends on the points and origination fees a lender charges to make the loan. The buyers need to bring photo ID: The closing agent has to verify that you are who you say you are. A driver's license or current passport will do. ... Cashier's or certified check: This is to cover any down payment and closing costs you owe. Do not bring personal checks or cash.

So now the sellers move on...to whatever their next goal or house may be and the buyers move in!!!

The closing gift varies and it's something I gave to every client...what I give depends on what I believe the client would like or need.

Georgie

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Georgieann Elliott

An entrepreneur real-estate professional living and working in Northern Utah. Experienced with buyers, sellers and investors. Many hours of service are devoted working with Seniors. The Seniors Real E....

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