The Closing Process

Close of Escrow is a term that most people know, but the closing process often remains a mystery even to seasoned buyers and sellers.

Unlike many other states, Arizona does not use a formal “sit down” closing with buyers and sellers, their agents, bankers and attorneys seated around a table. Often the seller has already signed the needed documents before the buyer’s loan is completed, and it is not uncommon for the buyer and seller to never meet.

The closing process usually begins 2 to 4 days prior to the scheduled close of escrow with the lender delivering the buyers loan package and closing instructions to the title company.

The escrow officer then prepares a settlement statement containing a full accounting of all the costs in the transaction, notifies the buyer of any additional funds needed to close and sets an appointment for the buyer to sign loan documents.

When the lender’s documents have been signed they are returned via messenger, express mail, or by fax to the lender’s loan closer who will review and approve the package for funding.

After the package receives final approval the closer notifies the escrow officer that the loan proceeds are available. Once all required funds are deposited and available for withdrawal in the escrow bank account the deed is recorded and released for recording. When the deed records with the County, escrow has “closed.”

Because this is an informal process it requires a coordination of efforts among all the parties to ensure a timely, successful closing. As an experienced real estate agent, Kurt will make sure to remain in contact with your closing officer to ensure things are on track and reach out to you if they are not with any explanation and solutions.

Many variables could come into play as “life” happens even during the home sale process! Kurt will provide clear communication and options for a smooth sail. Do not worry, you’re in good hands.