Soryl & Martin Cohen's - FAQ - FREQUENTLY ASKED QUESTIONS
WHAT ARE CLOSING COSTS?
Most people define closing costs as the amounts which are paid
to the professionals who work on the Real Estate transfer and
closing. Such costs will include attorney fees, any charges
incurred by the lender in processing your loan, insurance
premiums, property taxes, inspection fees and recording costs.
WHAT IS THE TITLE INSURANCE?
Title Insurance guarantees that you have “clear title” absolute
legal ownership with no unknown claims or debts against your
property. This is crucial to your lender, as the lender wants
assurance that the lien that they have on the property will
always be superior to any other claim.
Your home represents the largest investment that you will make
and you should protect it against title defects. Defects in
title include forgeries, deeds by minors or improper transfers
of title. Your title insurance protects you against loss for as
long as you own your home. The premium is paid once, in full, at
closing.
WHO DOES WHAT FOR THIS TRANSACTION?
Lots of professionals will be involved in your closing. The
Realtors organize and coordinate all aspects of the purchase-
from signing the contract to moving day. The lender provides
surveyors and appraisers. The title company checks the legality
of the property transfer, prepares all documents and conducts
the closing. It is their job to ensure that all of the
conditions set forth in the contract are met by both Buyer and
Seller and that both parties are satisfied with the transaction.
WHAT PAPERS WILL I SIGN AT CLOSING?The majority of the documents
that you will sign verify the information that you gave on your
loan application and confirm your understanding of the terms of
the loan.
You will sign a mortgage and note. The Seller will sign a new
deed – transferring the property to you. You both will sign a
closing statement which is an itemized accounting of who paid
what to whom.