Bulldog Title Insurance Agency, L.L.C.

Purchasing a home is a momentous occasion.  Closing the sale should be a celebration, not a taxing chore.  Title insurance allows the closing process to go quickly and efficiently by protecting homebuyers, sellers and lenders against title defects.

Step One

The closing (settlement) process begins when an order is received--weeks and sometimes months before the actual closing day.  When the escrow agreement or contract is received, the closing agent reviews it to make sure it is complete and accurate.  If the closing agent receives a deposit at this point, it will be placed in an escrow account and remain there until closing time.

Step Two

Next, the closing agent orders a title search or, if he is able, conducts a search himself.  If the title search turns up satisfactory results, the closing agent will prepare a title commitment, which states that title insurance can be purchased for the title in its present state.

Step Three

Once the closing agent receives the title commitment, he verifies its accuracy and thoroughness and notes any requirements that must be fulfilled before the title can change hands.  At this point, he also compares the title commitment to the loan closing instructions and the contract to ensure there are no inconsistencies.

If the closing agent uncovers unpaid mortgages, he will request the payoff figure from the lender.  If you are assuming the loan, the closing agent will order an assumption package that shows the loan's current status.

At this point, all other issues uncovered by the closing agent's research are brought to the attention of the appropriate parties so they can be resolved in a timely manner.

Step Four

Once the contract, loan closing documents, title commitment, and other documents have all been checked against each other for consistency, the closing agent can prepare an HUD-1 settlement statement.  This statement will show all costs associated with closing including the earnest money, deposit, closing costs, and loan application fees.

At this time, lenders must give buyers a "good faith estimate" of their loan costs, along with a copy of the HUD-1 booklet titled "Buying Your Home."

Step Five

By now, closing day should be approaching.  The closing agent will review any updates in the title status and other new information.  If at this point everything is in order, the closing agent will schedule a confirmed closing date with all parties involved.

Step Six

All of the involved parties including real estate attorneys and lenders are usually present on the big day.  The transfer of title is completed and the buyer gets the keys to their new home.