“Closing Day” Terminology:
You Need To Know
Closing day is an exciting time. After all, you’re moving into your new home!
However, it can be stressful as well. The last thing you need is to be
confronted with something you don’t understand. So here is a quick list of
common “closing day” terms.
• Disbursements. This is the allocation of funds to the appropriate
parties, such as the seller. Your lawyer will take care of this for you.
• Possession. This is the moment on closing day when you are legally
able to take possession of your new home. It’s usually when your
REALTOR® or lawyer hands you the keys.
• Title. This is a legal document that identifies the property and its owner.
• Closing costs. These are expenses, excluding the selling cost of the
property, that are due on closing day, such as legal fees, reimbursement
for pre-paid utilities, utility deposits, insurance, and taxes.
• Closing adjustments. These are expenses pre-paid by the seller that
need to be reimbursed on closing.
There may be other terms you come across on closing day as well.
Don’t worry, a good REALTOR® can help make the day go smoothly
for you and your family.
Looking for a good REALTOR®? Call today.
Posts By Date