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Closing on your Saline real estate
What does "closing" mean?
When you hear the term "Closing on your Saline real estate," what does that mean? Since I hear that question so frequently (it's a FAQ), let's explore that today.
When you write an offer on your Saline real estate, and there is acceptance of the terms by both the buyer and seller, a valid contract exists. Now, I'm not an attorney, so I'm not qualified to offer any legal advice. But I have worked with enough real estate contracts to know that the contract must either be closed (think "completed") or dissolved (think "falls apart").
The parties at a "closing" are typically the buyer (and their agent), the seller (and their agent), and the closing officer. Sometimes the mortgage loan officer attends the closing, but not always. The closing officer is usually an employee of the title company handling the closing, but you need to think of the closing officer as a representative of the lender involved in the buyer's financing.
Two things generally happen at the closing on your Saline real estate - the financial transaction (think "mortgage" - unless you're paying cash) and the real estate transaction (think "the deed to the property").
In most cases, there is a mortgage involved in the purchase of your Saline real estate, so the financial transaction is "closed" first. The closing officer will have the buyer sign all of the documents required by the mortgage lender. This can take 15-20 minutes alone, as some mortgage lenders have A LOT of documents particular to their need. I've been through some closings where the buyers read EVERY document before signing. Those closings can take HOURS. But in general, a closing should be done in 45-50 minutes.
Once the financial transaction is all signed by the buyers, the closing officer will handle the real estate transaction. Here, the seller signs the deed transferring the property to the seller. There are generally several other documents which the seller will sign at closing, but in comparison to the signing required of the buyer in all of the mortgage documents, the seller has it easy at the closing.
Once all of the documents are signed by both parties, the closing officer will collect the driver's licenses (or other photo ID) for each signing party. This is done to verify the identity of each party in the signing. Many years ago, a man might bring his "mistress" to the closing to sign off as the wife of the seller. The man would take the money at closing, and he and his mistress would skip town. It may have only happened once, but that was enough for title companies to catch on, and they now require photo identification of everyone signing at the closing. The closing officer then leaves the room to make copies for all parties involved.
So what do the agents do at closing?
Seriously. With the closing officer in charge of the closing process, the agent's work is done. At most of the closings that I attend (and I attend all closings with my clients), I chat quietly with the other agent while the closing officer handles their business. If any questions come up, of course, I'm right there to help out. But, for the most part, the closing is a chance for the agents to deepen their friendship which developed during the transaction.
When the closing officer returns to the room, they distribute the copies to each party, and the check for the proceeds to the seller. Then, we're done.
But for me, the "closing" of the real estate transaction is only the "opening" of a new friendship with my client, as I look to enjoy a lifelong friendship with each of my clients. But that's a story for another day....
I hope this article helps you to understand Closing on your Saline real estate.
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If you have questions about your specific situation, or if you're considering buying any Saline real estate, you owe it to yourself to take advantage of my experience in the Saline market. I'd be happy to meet with you! Just give me a call at (734) 476-2063, or send an e-mail, "Vance (at) SalineMichiganRealEstate (dot) com".
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