Seller Step 12: The Settlement Process

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Seller Step 12: The Settlement Process

You’re almost to the finish line now. The last step is getting through settlement. This process can be confusing and overwhelming, but we’re here to help. In this blog post, we’ll give you an overview of what settlement looks like for a seller and how it works. We’ll also provide some helpful tips to make the process go as smoothly as possible. So whether you’re a first-time home seller or an experienced pro, read on for everything you need to know about the closing process. 

Review the Settlement Statement Prior to Closing

Reviewing the settlement statement prior to closing is a crucial step of the settlement process. It is essential that a seller look over all fees added by the title company in order to ensure they are not being charged any extra, unforeseen costs. Additionally, analyzing the closing statement will guarantee that you receive the correct amount of money upon signing, ensuring your investment is safe and secure. Doing your due diligence before the big day can save you from costly surprises later – so look over that settlement statement!

Hiring a Professional to Review Documents for You

Today’s settlement statements for a seller can be quite confusing and it can be hard to know what to look for. Hiring a professional to review your documents prior to settlement is one of the best investments you can make. Working with an experienced professional who specializes in settlement area and knows exactly what to look out for could be very beneficial for you. They are often able to spot any mistakes or areas where you may need clarification from the title company. 

The settlement professional can discuss any changes needed with the agents involved and make sure that everything is done correctly before settlement day. Check out our partner brokerage for affordable and professional real estate services.

What to Expect at Settlement

If you’re working on your first home sale, you might be wondering what happens at settlement. Well, don’t worry – it’s quite simple! Settlement is where all the official documents are signed, and where all funds (down payment, closing costs, etc.) are transferred. It usually takes place at the title company, but the location is picked by the buyer, and it usually only last 30 minutes to an hour. Typically, title companies will require one to two forms of ID from each party, but you should always check with the company you are using in case their policies are any different. You do not want to hold up settlement by being unprepared. 

Who Conducts Settlement?

An officer from the title company usually handles everything regarding settlement. They are state licensed agents with the knowledge and experience to ensure everything is running as smoothly as possible.

Which Parties Will Be at Settlement?

Settlement is the final stage in a seller’s journey when transferring ownership, and who attends really matters. All buyers who are on the closing documents must be present to sign, but as the seller you have the ability to decide if you would like to attend settlement, or pre-sign at an earlier date and time. If you do choose to attend, other parties that may be present include attorneys and representatives to provide any needed guidance along the way, and of course the title agent, and any real estate agents involved in the transaction. 

What if I Owe More Than I’m Getting at Settlement?

Settlements can be an absolute nightmare if you’re having to bring money to the table. Unfortunately, sellers may find themselves in this undesirable situation more often than not. Owing more than what you are receiving at settlement could mean that there are liens against the property, or simply having to cover costs such as an old mortgage, closing fees, seller’s fee credits and title charges that would have otherwise been taken care of by the sale of the home. It’s frustrating having to pay additional money out-of-pocket when selling a house, but having a clear understanding of all costs involved during the sale is key to avoiding any surprises at settlement. And remember to always check with the title company prior to closing on how you should deliver the necessary funds- over wire or bringing a check to settlement. 

The Settlement Process: Closing Thoughts

Selling your house is a huge accomplishment that comes with many complicated steps. One such step is settlement, which can be confusing and overwhelming for first-time sellers. To make sure you’re as prepared as possible, review our blog post main points:

1. Review the settlement statement prior to closing
2. Hiring a professional to review documents for you
3. What to expect at settlement
4. Who conducts settlement?
5. Which parties will be at settlement?
6. What if I owe more than I’m getting at settlement?

Armed with this knowledge, you’ll be one step closer to feeling confident about settling on your new home sweet home!

Ready To Sell?

Congrats! You now know how to sell a home and what to expect along the way. If you feel that you would prefer professional help from experienced agents, check out our partner brokerage to list your home for sale by owner and get assistance every step of the way while saving immensely. Selling without a Realtor doesn't mean you're on your own. Take advantage of the services offered to sell your home without the stress!

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