Closing on a New Hampshire Home

A typical closing is a meeting between the buyer(s), seller(s), representatives or agents for the lender (and title insurance company in some cases) and the real estate broker. The purpose of the meeting is to transfer title (ownership) of the property from the seller to you, the buyer.

In some cases the broker may represent both you and the seller; or the closing process may be handled by an escrow agent or attorney. When you have an exclusive buyer's agent represent you, you never have to worry about the real estate broker trying to represent both you (as the buyer) and the seller. Exclusive Buyer Agents will never represent both parties in a transaction.

WHAT HAPPENS AT THE CLOSING?

• The lender’s agent will ask for your paid insurance policy (or binder) on your New Hampshire house.
• The agent will list the adjustments (what you owe to the seller: remainder of the down payment, pre-paid taxes, etc.; and what the seller owes you: unpaid taxes, pre-paid rents, etc.).
• You will sign the mortgage or deed of trust (the legal document giving the lender the right to take back the property if you fail to make your mortgage payments).
• You will also sign the mortgage note (the promise to repay the loan in regular monthly payments).
• You will then be “loaned” the money to pay the seller for the house.
• The title (proof of ownership of the property) passes from the seller to you, usually in the form of a Deed (the document that transfers the title) signed by the seller.
• The lender’s agent will collect the “closing costs” from you, and give you a Loan Disclosure Statement (a list of all the items you have paid for. Be sure to keep this.)
• The deed and mortgage will then be recorded (put on file) in the town or county Registry of Deeds. A copy of these documents should be mailed to you within a few days. Be sure to keep them in a safe place along with your other records.

This Home Buying Tip was excerpted from:

The Homebuying Guide, by Antony A. Phipps and Norma F. Moseley - Abt Books, 1978

ISBN# 089011527

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