A title is the document that verifies your legal right
to your new home. Closing (also called the settlement) usually
takes place at a title company. Your real estate professional
will help coordinate a convenient date for you and the seller.
Understanding Title Insurance
There are two kinds of title insurance
- a lender's title policy and an owner's title policy. To protect
their interest in your property, mortgage lenders require buyers
to purchase a lender's title policy. But a lender's title policy
doesn't protect your interest as the homeowner.
For this you need an owner's title
policy. This policy pays for all court costs and related fees
associated with any claim that might come up. Also, if a claim
is found to be valid, your actual loss-up to the face amount
of the policy-is covered.
What To Expect At Closing
Many people may attend the closing:
you, your Dawson Ford Garbee Sales Associate, the seller (or
builder) and their real estate agent, and an escrow agent
(closer) from the title company.
During the meeting, which usually takes
an hour, you and the seller will review all of the relevant
closing papers, many of which you'll sign. Then, after providing
a cashier's or certified check for the down payment and closing
costs, the keys are passed to you and the house is yours!
What To Bring to Closing
In the excitement of owning a new home,
don't forget to bring the following items with you:
A photo ID.
A list of your addresses for the past 10 years.
A certified check, made payable to yourself, for the amount
specified in your most recent Good Faith estimate you received
from your loan officer or lender. This usually includes
the balance of your down payment (subtract the earnest money
you paid when your offer was accepted), and fees for other
services.
Your personal checkbook so if other charges come
up, you can write a personal check to cover them.
Your homeowner's / hazard insurance binder with
proof of one year's payment (usually a receipt).
