Your real estate agent or lender places an order with Land Title as soon as you have an accepted sales contract or agreement to refinance. Land Title oversees the closing process, supervising timeliness and obtaining all the necessary documents.
We review any agreement for escrow, checking for completeness and accuracy. Your deposit or earnest money is put into an escrow account which is held until the day of closing.
Preliminary title work is done. We conduct a systematic search of all public records to make sure there are no issues with the title such as liens against the property, utility easements, etc. If a problem is discovered, most often we can resolve it without you even being involved. After the title is cleared, title insurance is acquired, beginning with what is called a title commitment.
There are two types of title insurance. A Lender’s Policy insures that your lender has a valid lien on the property. Most lenders require this type of insurance and will typically require the borrower to pay for it. An Owner’s Policy, on the other hand, protects your interest in the property. Title troubles, such as improper estate proceedings or pending legal action, could put your equity at serious risk. If a valid claim is filed, in addition to covering the financial loss up to the face value of the policy, your owner’s title policy will pay for the cost of legal defense.
We coordinate other important details such as prior mortgage satisfaction. We obtain the payoff amounts from lenders. Other tasks typically include ordering property inspections, surveys, and pest/termite reports. Each closing is unique, which is why our expertise can make such a difference in the process for you.
We work to report and correct problems or discrepancies between the parties. Our role is to facilitate cooperation, coordination and compliance between all of the service providers.
If you are obtaining a loan, your lender has three days from the time of the loan application to provide you with a Good Faith Estimate of your loan costs. Keep in mind this is just an estimate. The final costs will be outlined on the HUD-1 Settlement Statement prepared by your settlement agent. It is usually provided to the buyer three days prior to closing. Items shown on a typical HUD-1 include costs paid at closing as well as pre-paid costs such as your earnest money deposit or loan application fee.
As closing day approaches, we obtain any updated information that may be required. Once all the paperwork is in order, the date, time, and location of the closing is set with all the parties involved.
On closing day, all of the behind-the-scenes work is done. While you’ve been busy packing, ordering utilities and coordinating the movers, the closing process has been happening behind the scenes so that your new home is ready for you to move in.