Town Title

Closing Process

What is the Closing Process and Where Does the Title Company fit in?

The closing process begins when you sign a sales contract to sell or buy real property or when you apply for a mortgage refinance. The realtor, lender or homeowner then places an order with the title company. The sales contract stipulates who pays for title insurance. The party and who pays for the Owners Policy chooses the title company. If you are refinancing your home, you can choose the title company. It is important to let your realtor or lender know that you would like to use Town Title for your closing. Otherwise, they will place the order with whom they choose.

In Palm Beach County, the seller typically pays for the Owner’s Title Insurance policy. Therefore, the seller chooses the title company.

What Role does the Title Company play in the Closing Process?

The title company performs all necessary steps to issue clear title. They communicate with the seller and buyer and when applicable the realtors, loan officers, loan processors, loan closers and attorneys. Some of the responsibilities of the title company in processing a file for closing include the following:

  • Ordering mortgage payoff(s)
  • Confirming real estate taxes are paid
  • Preparing any necessary title clearing documents
  • Ordering an Estoppel from the Association
  • Ordering a Survey
  • Ordering a municipal lien search (Code Enforcement, Permit and Water)
  • Preparing Settlement Statement to determine the sellers total proceeds and buyers final wire amount
  • Preparing closing documents (Warranty Deed, Affidavits, etc.)
  • Obtaining loan documents from the lender
  • Collecting and Disbursing all funds
  • Recording Documents
  • Issuing Title Insurance Policies