Deeds & Title

Closing

The final step in a real estate transaction where ownership is officially transferred from seller to buyer.


Definition

Closing (also called settlement) is the meeting where the buyer pays the purchase price, the seller transfers the deed, and all supporting documents are signed. In New York, closings are typically conducted by attorneys. The closing disclosure itemizes all costs for both parties. Closing costs typically include loan origination fees, attorney fees, title insurance, recording fees, transfer taxes, and prepaid expenses such as homeowners insurance and property tax.

Exam Tip

TRID requires: Loan Estimate within 3 business days of application; Closing Disclosure at least 3 business days before closing.

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