Do You Know What Your Closing Agent Does?

Have you even wondered what your closing agent does during the real estate transaction? His or her purpose is to manage and direct the finalization of the buying transaction by ensuring both parties fulfill their side of the purchase agreement. This person usually is employed with a title or escrow company.

It’s not unusual for most buyers to be unaware of who their closing agent is until the end stages of the sales transaction. Meanwhile your agent becomes active way before the finalization of your transaction. A seasoned agent will:

1) Take Care Of The Details Of Obtaining Title Insurance-A key function of your closing agent is to request a complete title investigation. Should your agent be currently working for a title company or is already a lawyer, they will personally take care of the search. Once the results of the report are sent back, it will reveal whether the seller has any outstanding liens, easements, and encumbrances that have to be taken care of by the seller before the sales transaction can be completed. As soon as the seller fixes all title problems, your closing agent will complete the final steps needed to have a title insurance policy issued to you.

2) Coordinates Both Lenders-One important role of the closing agent is to supervise the payoff of the seller’s lender (if applicable) and the funding of your sales purchase.

3) Establishes An Escrow or Trust Account-Once the closing agent takes your deposit, they will put it into a special account with a local lending institution until the deal terminates and the funds are transmitted to the seller. Any funds allocated by the seller to fix the property will also be put into this account. In states permitting lawyers to represent both parties, the seller’s representing lawyer will open up the account.

4) Prorates Expenses-Your closing representative will determine what portion of tax, interest, and insurance payments will be paid by seller and buyer at the close of the sail.

5) Follows Instructions-The agent will follow all written instructions provided by you and the seller and make sure everything will be completed by the closing date.

6) Coordinates Recording Of The Deed And Seller Payoff-When closing time occurs, the closing agent will transmit the money to settle all balances owing to the seller. Upon completion of this step, the agent will facilitate the public recording of the deeds granting ownership to you.

All fees charged by the agent are included in the closing costs. Depending on which part of the country you reside in, either buyer or seller will cover the costs; while in certain locales the agent’s fee is split equally. Consult with your Realtor to find out which procedure is the norm in your region.

Are you searching for Westminster homes for sale, then use a local Westminster Realtor to locate one.