So, seller, you’re all packed up and ready to go. You’ve signed your deed already, and perhaps a power of attorney. Congratulations! But you might be wondering: What paperwork still needs to be signed at closing (whether you’re there or not)?
This week Mark dives into the nitty gritty of the remaining documents, which ones you need in order to cancel your homeowners insurance policy, and a few details about title insurance and taxes — giving special attention to one of the most complex forms in the closing package.
Don’t forget to tell your real estate, financial and mortgage professionals you want to work with the team at Stiles Law to get the job done.
If you remember, the last few weeks’ videos covered the Closing Disclosure, Promissory Note, and Mortgage. But that’s not all you’re going to see when you sit down to sign for your purchase or refinance.
During the closing process you’ll be giving out lots and lots of autographs, and it can feel overwhelming and monotonous. However, each one is important in its own way. Before you get there, give this video explanation a watch so you know just what to expect.
Mark touches on documents regarding payment specifics, escrow, compliance, title and more, simplifying each of their purposes.
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Welcome back to another legal document overview. It’s always important to really understand exactly what you’re signing during your closing, so you don’t end up with surprises down the line.
This Mortgage document is used in virtually all residential lender transactions as a security instrument for the lender to protect their position and their asset (aka your property). It serves to cover the lender in the event that you don’t make good on your end of the deal.
Although you own the property (as shown in the Deed), the lender claims the property in agreement with you via a voluntary lien, and you release certain rights to them.
Mark covers the sections on Uniform Covenants, Preservation, Joint Liability and more, with special focus on the “Acceleration; Remedies” clause. This clause lays out the worse-case scenario of how the lender will proceed if they don’t receive payment.
Amidst your refinance or purchase transaction, you’ll see a document called a Promissory Note. This is the official agreement between you and your lender. In this week’s video, Mark covers each important part of the document, including obligations of payment and interest, penalties for failure to pay on time, and the transfer of property provision.
With the state of the housing market right now, the question on everyone’s mind is this: When is the market going to crash? People worry that it’s feeling just like 2008 all over again. And we know that history repeats itself, if we don’t learn from our mistakes.
We’ve built a scarce marketplace thanks to the supply and demand imbalance. As a seller, you can get a lot for a house right now because of the shortage. Like a precious diamond, that which is desired most increases in value and in cost. In the past, an abundance of loose and risky loan products created false value, upsetting the natural process.
We’re not quite there yet. But we’re urging you to be vigilant and watch for the indicators, especially come fall and winter. Don’t forget to subscribe!