Scheduling the closing: please coordinate with your real estate agent, lender and the other parties to set a closing date, time and location.

Bring to closing: your photo ID (driver’s license and/or passport) confirmation of your wire transfer, your personal checkbook for last minute cost changes, and any documents requested, such as original powers of attorney or credit card statements.

Reviewing your Closing Disclosure/Settlement Statement: please review the names and amounts prior to closing and immediately notify us any corrections are needed.

• Names and addresses for all parties
• Sales price and earnest money paid ( who is holding)
• Loan amount and terms
• Closing cost credit from the seller
• Missing payoffs, taxes or Homeowner’s Association dues
• Home warranties
• Repair expenses or payments to third party vendors
• Late amendments to the contract changing the terms, especially the sales price or closing cost credit

How to hold title: If you are buying with another person you need to decide whether you want to hold title as Joint Tenants with Rights of Survivorship or as Tenants in Common.

After closing:

• Purchasers need to promptly establish water service and other utilities in their names.
• Borrowers should confirm their payment due dates and methods for payment to their lender.
• Purchasers will receive their original, recorded deed within three to four weeks after closing along with a reminder to file for any Homestead Exemptions for which they are eligible the following year. The deadline for most taxing authorities is April 1^st.

Buyers: you will need to send your funds due for closing by wire transfer,  preferably two to three days prior to closing

• You must send a “Federal Funds Wire” and not an ACH, Paypal, Venmo, Credit Card, Debit card, Zelle or any alternative forms of payment, which will be rejected by our bank and could delay the closing for several days.
• Caution: Do not wire any funds until you have confirmed the wiring instructions with our firm. Do not rely on wiring instructions provided by any realtor, lender or anyone else other than an employee of Absolute Title.  You may also call us to confirm the instructions.  Cyber Fraud is a growing problem with cyber-criminals trying to divert your funds to their accounts, so please verify, confirm, and call Absolute Title to insure your funds are properly received and applied.
• If you are financing your purchase, your lender will send you the Closing Disclosure that shows the amount due (or a close estimate).
• If you are paying cash, Absolute Title will send you the Settlement Statement showing the amount due. We recommend you bring a personal check in case your amount due increases by $2,500 or less.  Any amount over $2,500 must be wired.  If you have sent excess funds, you will receive a refund check at closing.

Lenders:

• All purchase lenders will wire loan funds needed for closing to our escrow account.
• Many payoff lenders now require that we wire their funds. Otherwise, we send all payoffs by Federal Express for next day delivery.

Other disbursements at closing:

• Absolute Title will also send all payments for hazard insurance premiums and homeowner’s associations fees by Federal Express to confirm delivery
• We can also wire commissions to real estate brokerages.

• Always required for buyers financing their purchase – always recommended for cash buyers. Even condos require an insurance policy for the contents and interior.
• The policy must be in effect on or before the closing date.
• The insured parties are all of the buyers taking title to the property.
• Your lender can assist you with the necessary coverage amount and lender information to appear on the policy.
  • Please have your insurance agent email the declarations page and invoice to us, once the lender has approved the coverage.
  • The premium will be collected at the closing and we will forward the first year’s premium to the insurance agent. If you are escrowing insurance in your monthly payment, your lender will pay the annual renewals.
  • If you are not escrowing insurance, you will be responsible for timely payments to keep the policy in effect. Your lender will be notified if you are delinquent on those payments.
• If you are paying cash, you will be responsible for all insurance payments and renewals.
• Hazard Insurance does not include Flood Insurance Coverage. If your property requires flood insurance (as determined by your lender and the FEMA flood plain maps), you will need to obtain a separate flood insurance policy.

There are two kinds of title insurance: Lender’s and Owner’s

• Lender’s title insurance is almost always required by your lender, if you are financing your purchase, because it protects the lender’s investment in the property.
• Owner’s title insurance is optional but strongly recommended to protect the buyer. This coverage protects the owners while they own the property and even after they warrant the title to a new buyer.
• Both policies are a one-time purchase at closing and there is a discount when buying them at the same time.
• What does title insurance protect and provide? Real claims happen every day in all price ranges and neighborhoods!
  • Financial claims that affect the title to the property, including unrecorded or undetected liens or mortgages in the history of the title, unknown heirs, mistakes in deeds or recording, funds that are due to clear title, property tax payments, and even challenges to actual ownership.
  • Legal representation against these claims with no deductibles, whether the claims are successful or unsuccessful. Even if a claim is not valid, there are legal costs to defend the claim, and the title company provides the expertise and litigation support that would otherwise be the financial and stressful burden of the owner or lender.
  • Confidence that the insured owners will not have any delays or problems when selling or refinancing because of a title problem caused by a third party.
• How do I get this insurance?
  • Absolute Title is an authorized agent for several leading title companies, and we partner with them to review, underwrite, and insure every title that we close, so that our buyers and lenders have the protection of large national companies for their properties.
  • The premiums are standard by state law and are based on the sales price and loan amount for each closing.

Every property has county taxes and may also have city taxes, if the property is in an incorporated city. Taxes are based on the county’s assessment of the value of the property, taking into account documented sales of the property and neighboring properties.

• Every county will send an annual assessment of your property, and you will have 45 days to appeal that value. The assessment will also show an estimate of the tax bill, which will be finalized and sent out later in the year.
  • The assessment notices are mailed to the owner of record as of January 1st and not always to the new owner.
  • The assessed value can be more or less than the most recent purchase price.
  • Many owners are successful in filing appeals to lower their assessments and also to freeze the assessed value for a few years.
• Who pays the taxes?
  • If the tax bill for the current year is available, the bill will be paid at closing, unless the seller has already paid it. Any unpaid tax bills for previous years will also be collected at closing from the seller.
  • If the tax bill for the current year is not available, the closing attorney will prorate the seller’s share based on the best estimate available of the annual bill; this prorated share is credited to the buyer, who will be responsible for paying the full annual bill when it comes out. The prorated share is not paid to the county; the county will not accept any payment until the actual bill is issued.
  • When the tax bill does come out, it may still show the name of the January 1st owner, but the new owner is responsible for paying the entire year’s bill
  • Sellers who receive these bills should forward them to the purchasers because it benefits both parties to have the bills paid.
  • If the bill is significantly different from the estimate and proration at closing, the buyer and seller may settle the adjustments after closing between themselves.
  • If the new owner has a mortgage with taxes being escrowed, the lender will pay the entire tax bill before the due date.
  • Purchasers who pay cash or do not escrow taxes should make sure that they are receiving all tax notifications, so that they can pay the bills on time. They can also access this information on their county tax website.
  • Non-owner occupants or investors should confirm that the closing attorney and the property tax departments have their correct mailing address, so that they will receive all notices and bills. They should also check the county tax website to stay current on all assessments and bills.
• How else can you lower your tax bills?
  • If the owner lives in the property as a principal residence, the owner may be eligible for the homestead exemption, which is a discount on the tax bill.
  • Additional exemptions are available in many counties and cities for elderly, disabled, and low income owners.
  • The deadline for filing the county homestead exemption is April 1st, but other exemptions and some cities may have earlier deadlines.

Although surveys are not typically required by lenders, they are always recommended for properties other than condos. The typical cost begins at $500, depending on the lot dimensions and detail requested.

A survey may alert a buyer to discrepancies between the actual size or shape of the lot and the descriptions on previous deeds, encroachments of walls, fences, driveways, and other structures, or easement violations.

A survey is also recommended for any purchaser who plans to enlarge or add new structures on the property, including decks, parking pads, driveways, and even landscaping.

Powers of Attorney are used when a party to the transaction can not attend closing in person.

• Absolute Title can prepare and provide a power of attorney (POA) to be executed by a party to the transaction that can not attend closing.
  • If the party is a borrower on the mortgage, the lender must review and approve the use of a POA prior to closing.
  • If the buyer is paying cash (no mortgage), the buyer can sign all documents via email and scan back with no originals required.