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Closing Attorney Responsibilities

December 23, 2015

EddieKirby

From Loan Officer Eddie Kirby

A closing is a conclusion of all the steps and documentation in the home purchase process. It is when the purchaser becomes the owner of a piece of real estate. A closing attorney performs the closing and has functions prior to the closing date. This blog explains closing attorney responsibilities.

Role of a Closing Attorney

A closing attorney is ordinarily selected by the mortgage company to complete documents and other tasks for a closing. The attorney really acts on behalf of the mortgage company although the purchaser is responsible for the fee. Some purchasers opt to use that same individual to review paperwork such as the Purchase and Sales Agreement on their behalf. However, they do have the freedom to get representation from an attorney of their choosing.

Closing Attorney Responsibilities Before the Closing

The closing attorney is in charge of several deliverables related in a property transaction. The first duty is a title search. This is an examination of town documents on the property to confirm that the title is able to be given to a new owner. The second is compiling legal records for the closing and loan. Lastly, they are required to also prepare settlement documents that outline the charges for all parties in the transaction. Each of these important for a proper closing.

The Day of Closing

The closing attorney manages the actual closing by making sure the documents are signed and funds are exchanged. The buyer and seller are accountable for endorsing a series of documents, although most need only the signature of the borrowers. Some paperwork is placed into public record while others are kept by the lender. The other critical part of a closing is the transfer of money. All charges and figures are explained in a settlement form given to both purchaser and seller. In many circumstances, money is transferred from the mortgage company to the closing attorney for proper distribution.

Closing Attorney Responsibilities

The official duty of a closing attorney usually begins with a title search, but may at times also include review of paperwork such as condominium paperwork or Purchase and Sales Agreements. It is important to remember that they act on behalf of the mortgagor in the transaction no matter who is charged with their fee. Purchasers, Sellers, and real estate brokers must all act together with a closing attorney to ensure a successful closing.

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