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Real Estate Conveyance

How is Real Estate ownership conveyed?:

Real Estate conveyancing is the process by which a Buyer acquires property from a Seller. After the parties enter into a Purchase & Sales Agreement the Buyer is responsible for securing financing. All lenders require a Title Search to ensure the title is clear of any defects. The Closing Attorney often acts as the title attorney for the Buyer to complete the title search. The Seller is required to payoff all encumbrances outstanding on the property (mortgages, liens, etc.) and provide clear and marketable title to the Buyer. The Seller is expected to cooperate with the Closing Attorney in clearing any title defects, providing mortgage payoff information and satisfying outstanding debts, which may include taxes, liens or judgments against the property, and final municipal expenses.

What is the role of the Closing Attorney?:

The Closing Attorney attends and conducts the closing on behalf of the Buyer's bank. Although the Closing Attorney represents the bank, the Attorney is responsible for conducting the closing and therefore normally communicates with both the Buyers and Sellers in order to facilitate the transfer of the property. The Closing Attorney ensures that all necessary monetary adjustments between the parties are made at the time of the closing. All adjustments are reflected on the HUD Statement or Settlement Sheet. Adjustments may include proration for real estate taxes, any municipal assessments and all municipal expenses. All adjustments are based on the ownership of the respective parties.

What should I expect at the closing?:

All Buyers and Sellers normally attend the closing to sign the Settlement Statement or HUD sheet. This document serves as an accounting of the transaction. The sellers will then sign the Deed transferring ownership to the new Buyers and hand over the keys. The buyers are responsible for signing all of their loan documents and for bringing the balance of their down payment to the closing in certified funds. It's recommended that buyers make checks payable to themselves which they will endorse at the time of the closing.

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