Real Estate Closing Procedure

Real Estate Closing Procedure in Florida

In Florida, the real estate sector is a large part of the local economy with a substantial number of residential and commercial real estate closings occurring on a continual basis. Although Florida real estate attorneys fully understand the real estate closing process as they are involved in real estate closings every day, many of the other participants in Florida real estate transactions often experience some confusion as to everything that happens between the time the purchase and sale contract is signed to the date of closing. This brief article is written to explain the closing process and the basic steps that are customarily followed in every Florida real estate transaction so that buyers, sellers, real estate agents, lenders and other interested parties will have a better understanding of the many actions taken by Florida real estate attorneys to successfully close a real estate transaction. Below is a brief description of the steps which occur in every real estate transaction.

Submission of the Title Order

After a purchase and sale contract is signed between the buyer and the seller and the initial escrow deposit is made by the buyer, the buyer's lender (if the transaction is being financed) or the buyer's real estate agent (if the transaction is a cash transaction) will submit a request for title to the closing attorney chosen by the buyer to start the process. Typically, the buyer's lender or real estate agent will complete and send a one or two page form to the closing attorney which contains all of the relevant information related to the transaction such a party names, property description, purchase price, lender information and exiting mortgages. Most real estate attorneys also have pages on their websites where the buyer's lender or real estate agent can electronically complete and send in the request for title. The buyer's realtor will also typically send a copy of the signed purchase and sale agreement to the closing attorney at this point.

Processing the File

Typically, the buyer's lender or real estate agent will complete and send in the form of one or two lawyers to close the transaction includes all relevant information related to such party's name, property description, purchase price, lenders mortgage information and exit.