So, you're about to close escrow on your new dream home but need clarification on the legal ins and outs? Fear not, because below is a step-by-step guide to the real estate closing process in states that utilize lawyers:
Step 1: Hire an Attorney
In certain states, lawyers are required to be present during the real estate escrow closing process. To initiate this journey, you must find a real estate attorney. Seek recommendations, compare fees, and review their expertise before deciding.
Step 2: Review the Purchase Agreement
Once you have a legal professional by your side, examine the purchase agreement together. This crucial document outlines the terms and conditions of your home acquisition. Your attorney should verify its accuracy and ensure it complies with applicable laws.
Step 3: Conduct Due Diligence
It's essential to perform due diligence on the property you're purchasing. Confirm that there are no undisclosed liens, easements, or other potential complications. Your attorney can assist you in obtaining and reviewing title reports, surveys, and property inspections.
Step 4: Secure Financing
You'll need a mortgage or other financing to complete your purchase. Your attorney can offer advice on selecting a lender and guide you through the loan application process. Once approved, your lender will provide a loan estimate, which your attorney will review to ensure its accuracy and fairness.
Step 5: Prepare for Closing
As the closing date approaches, work closely with your attorney to finalize any outstanding tasks. These may include obtaining homeowners' insurance, transferring utilities, and resolving any remaining contingencies in the purchase agreement.
Step 6: Review Closing Documents
Before the closing, your attorney will receive a package of documents from the title company or closing agent. These may include the Closing Disclosure, which details the financial aspects of the transaction, and the deed, which transfers ownership. Your attorney will scrutinize these documents to confirm their accuracy and legality.
Step 7: Attend the Closing
On the day of the closing, you, your attorney, the seller, and their attorney will meet to sign the final documents. Your attorney will ensure that all parties understand the terms and conditions of the sale. Be prepared to provide certified funds for the down payment and closing costs.
Step 8: Record the Deed
Following the closing, your attorney will record the deed with the appropriate local government office. This step officially transfers property ownership to you and ensures your homeowner rights are protected.
To find out more, contact a representative like Cornelius F Sullivan Attorney.
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