This is the third of a three-part series on real estate closings.
After the Closing
After Closing, the title company completes the transaction process. All of the documents signed at Closing are properly filed and/or mailed to the appropriate parties and all necessary payments itemized on the Settlement Statement (HUD) are distributed as itemized.
The Closing Package
All of the original loan documents signed at Closing are required to be mailed back within 24-48 hours. As soon as Closing is finished, the title company gets this package together and sends it back to the lender.
There are certain documents that must be recorded at the Recorder of Deeds in the county where the subject property is located. These documents include deeds, mortgages and Powers of Attorney, just to name a few. The title company is also responsible for filing these documents.
Payoffs and Other Payments
There are also various parties that require payment or “payoff “after Closing. The title company makes sure these payments are made. This could include payoffs for mortgages, home equity loans, liens, water/sewer bills, property taxes and HOA/condo fees.
At this point, the transaction is now complete. The title company has met its obligation to ensure all documents were handled and dealt with as required and all payments were made to the respective creditors, municipalities, real estate agents, sellers and other parties to the transaction. Usually within one month from the transaction closing date, the buyer will receive their final correspondence from the title company in the form of a letter, which includes the owner’s title insurance policy and recorded deed.
In the event that the buyer, seller or anyone involved in the real estate transaction has any questions, a competent title company will have kept copies of all documents pertaining to the transaction and will be able to provide copies of those documents upon request. It is also recommended that the buyer retain copies of all real estate documents received at Closing as well.