What is closing?
Closing is the last step in a real estate transaction and transfer of ownership. To
secure a home requires several hurdles which include browsing several home listings,
negotiations/securing an offer, execution of agreements and deeds of assignment, payment of
closing costs, etc. The final step in this long chain of events is the closing.
Just as the term implies, a closing completes all that there is to a real estate transaction. Upon
such closing, the ownership of the property is fully transferred from the seller to the buyer.
Closing a real estate deal means a checklist to do for both the seller and buyer. This checklist
includes the signing of the (notarized) deed, receipt of a check from the buyer or bank transfer,
recording of the transaction at the public recorder’s office, and delivery of possession of the
property to the buyer (if possible).
Closing is usually fixed for a date when the deed of transfer is delivered to the buyer.
Possession doesn’t need to be delivered upon the same day. However, what is vital is that
ownership passes to the buyer on such closing date.