The knowledgeable, professional team at Modern Abstract and Title will help you prepare for your real estate closing by ensuring all the variables are coordinated and ready. We will do our homework and communicate with you about the process, so you are confident during your real estate transaction. You will be well-prepared and well supported. We will remind you to bring the necessary documentation, such as your government-issued photo ID. You will know the amount due for a down payment and closing costs. You will sign a lot of documents (and leave with a hefty stack of them!). Modern Abstract and Title will answer your questions as you go!

Closing costs are paid by both the buyer and seller of real estate as agreed upon in the contract. They include fees paid to the lender, real estate agents, settlement agents and others. What you will pay varies and depends on numerous variables, such as loan program, government requirements, selling price, the sales agreement and many other factors. Typically, fees cover services such as surveys, inspections and appraisals, as well as insurance costs. Normally you receive an estimate of fees when you sign your contract, and a settlement statement prior to closing so you have the detailed information you need. Modern will be here to answer any questions you have about your settlement statement or closing fees.

Our experienced Modern Abstract and Title team works efficiently to provide meticulous research and document preparation as expediently as possible. All property is different and has a unique history; closings can vary based on what is found during the title search. However, it’s typical for a closing to occur within 4-6 weeks after signing the contract.

As a buyer, you should begin transferring all utilities and services into your name. If this is your primary residence, file for homestead exemption on your property taxes to help reduce the tax burden. You’ll want to file important documents, such as owners title policy, closing package and loan information, in a secure location so when it comes time to refinance or sell your home, you can find this information easily. 

If you are a seller, make sure utilities have been transferred out of your name. Turn off auto payments for mortgages or other services, and get your mail forwarded to your new address at the Post Office.

Escrow is a risk reduction practice where a potential homebuyer’s deposit (typically 1% to 2% of the home’s selling price and is agreed upon by all parties in the contract) is held by a neutral third-party, such as Modern Abstract and Title. Putting the deposit, also known as earnest money, into an escrow account demonstrates serious intent for purchase. It is held until specific conditions, such as a successful home inspection, are met. Earnest funds aren’t extra money added to the purchase price; they are reflected on the settlement statement at closing.

A deed (normally signed at closing) is a legal document transferring the ownership from the seller to the buyer and is executed with a witness commonly a notary.

A 1031 Exchange is a trade of investment properties that allows you to defer capital gains taxes. The real estate must be considered “like-kind” but the definition is quite broad. The arrangements can be complex, with rigorous regulations and time constraints. Modern Abstract and Title is a Qualified Intermediary which is a requirement for handling the transactions and escrow account in 1031 Exchanges. Are you considering a 1031 exchange? Call Modern to discuss your unique transaction needs.