The 7 Simple Steps of a Closing

After all the searching, all the open houses, all the comparing and price negotiating and inspections - you have finally purchased or sold a home. 

While you have certainly gotten through the hardest part of the process, there is still one more step to take for Georgia residents: the closing. 

A real estate closing is the process of transferring the title of the home from the current owner to the new owner. Each state has different requirements for the transaction, and in the state of Georgia, an attorney is required to oversee the closing. 

The closing process can sometimes be complex considering the property rights and government regulations involved, however, closing with Perrie & Associates is a breeze, and we've broken the closing down into 7 simple steps:

1. Give Us a Call - 
   To start the closing process, the buyer or seller's agent will send the contract that contains both parties' information as well as the property address and other information needed for closing to Perrie & Associates. The contract will be assigned to one of our five offices, and a closing coordinator will begin gathering information and contacting all parties involved to prepare the transaction to close. We also handle For Sale By Owner contracts where no agents are involved, and all new contracts can be sent to titleorders@perrielaw.com or faxed to 404-214-6686 or 404-214-6674.
   
   
2. Some Background Info... -
   After receiving the contract, the pre-closer will order a title report. The title report is a document from the county that shows any liens on the property and is generated by the title examiner. The report is compiled from public records typically recorded in the local county record books. Documents contained in the report include unpaid tax bills, city and county tax bills, security deeds, neighborhood covenants, HOA documents, civil law suits or any other documents that can indicate a cloud or blemish on title that must be cleared up prior to closing. When an issue arises, it is referred to as a "cloud on title" and the property cannot be transferred to a new owner until those issues are resolved. The clouds on title are reported to us, and the pre-closer will address and clear those issues before continuing with the closing process.
   

   
   
3. And Info About You - 
   Once the title is cleared, the closing coordinator will work with both parties to collect information such as social security numbers for the buyer and the seller, their current and future addresses, the amount of the buyer’s homeowner’s insurance, current property taxes, homeowner's association information and any other information required. The pre-closer will also work with the lender to prepare the settlement statement and other documents needed for closing.
   Next the file moves to the closer's desk, and the closer will also work with the lender to prepare the closing disclosure statement or the settlement statement, along with other documents needed for closing. The pre-closer will work with the lender to provide the commitment to issue title insurance and ensure proper fees and taxes are added into the lender's system in preparation for the upcoming closing.
   
   
4. Save the Date - 
   When the buyer's lender reports that the loan has been approved, the closing can be scheduled. The lender and our office make every effort to work toward the closing date stipulate in the contract, but the buyer's lender has ultimate authority over when the loan is cleared to close. This process typically takes 30 days, so it is important that the purchase contract for a home be sent to the lender and closing attorney immediately after it is completed.
   
   
5. Autograph, please - 
   This is it, you're finally here! Once you arrive for your closing, you will meet with one of our attorneys who will guide you through the closing package and documents that need to be signed. If you're the seller - you've got it easy. You may only have 8 to 10 documents to sign! For the buyer - get those autographs ready! 
   Some of the most important documents signed at closing are the warranty deed, which transfers the title from the previous owner to the new owner, security deed, which creates the lien on the property by the mortgage company and outlines the terms of the obligation, and the closing disclosure (or HUD for a cash sale). The CD or HUD will be given to both the buyer and seller and outlines the fees for both parties and how much each party will receive or owe after closing.
   
   
6. Money, Money, Money - 
   After it's been signed and sealed (we'll get to delivered next), the seller will receive a check or wire for the proceeds of the sale, and then pass those keys across the table because the closing is finished! Now you have officially sold or purchased your home! 
   
   
7. Record and Relax - 
   You've done the hard work and we've gotten your autograph, so sit back and relax - we'll take care of the rest! Someone from our post-closing department will send the deeds to the county courthouse to be recorded, and once the warranty deed is returned, the stamped original will be returned to the buyer and the stamped security deed will be returned to the lender for their records.

The closing process should not be one to dread, but one to celebrate! It's a happy occasion for everyone involved, and Perrie & Associates is happy to help with this exciting process.

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Perrie & Associates, LLC is a full-service law firm centered around real estate property. We strive to provide big firm expertise with small firm concern for your interests. We are committed to focusing our legal expertise to provide you with the highest quality services in a timely and cost efficient manner. The attorneys and staff of our firm take great pride in providing the right solutions to our clients' needs. Give us a call to schedule a closing or for legal consultation!