Who Attends the Closing?

Generally, a closing is attended by the buyer(s), seller(s), their respective real estate agents, and, in some cases, a loan officer from the buyer's mortgage lender. Anyone who will be in title and who is to sign closing documents must attend the closing in person unless special arrangements are made (see below). For example, if two buyers are married, then both the husband and wife must attend the closing in person.  Florida is a Homestead State.  Any Buyer, purchasing the property as their homestead and obtaining a mortgage, must have their spouse attend closing and sign the mortgage, even if their spouse is not going to be on the title.  Likewise anyone who is required to execute the deed or conveyance and who is to sign closing documents must attend the closing in person unless special arrangements are made (see below).  And again Florida being a Homestead State, if a seller is married and the property is their homestead, then both the husband and wife must attend the closing in person regardless if only one of the spouses is in title or not.

Can a Party Close via Power-of-Attorney at the Closing?

If any party is unable to physically attend closing, they may be able to close by Power of Attorney. A properly executed SPECIFIC POWER OF ATTORNEY granting another party the power to execute closing documents on that individual’s behalf is the most commonly used document.  In some cases a DURABLE FAMILY POWER OF ATTORNEY will be acceptable.  Furthermore, the lender will not allow any party to close by Power of Attorney without its prior approval and a through review and approval of the executed form that person intends to use.

Thus, please notify us as soon as you realize that any of the parties is unable to attend your scheduled closing. We can coordinate the execution of a SPECIFIC POWER OF ATTORNEY for your client and assist you in obtaining approval from the lender.

What if one of the Parties is unable to attend closing? Can they close by mail?

Title Source USA regularly conducts closing via mail, e-mail and fax, depending upon the circumstances.  If the Buyer is not financing their purchase, many times we can close your transaction by fax or e-mail with the Purchaser wiring of funds to our escrow account.  If the Buyer is financing the transaction, we’ll require the original notarized documents in our possession prior to disbursement.  For all Sellers we’ll require the original notarized documents in our possession prior to disbursement. So coordinate with our staff for delivery via overnight courier.

How Do I Determine whether one of the Parties Needs to Bring Money to the Closing and, If So, How Much Should They Bring?

Many times the Buyer’s Lender can tell you whether or not they will need to bring money to the closing.  The Lender’s good faith estimate is a good starting point and the lender may have more specific information as the closing approaches.  Also, ask your Title Source USA professional for a Preliminary HUD Closing Statement.

Many times we can tell you a fair pre-estimate of what the Buyer needs to bring to closing once the lender transmits their final closing instructions. Generally, we can do this between 12 to 4 hours before your closing, depending upon when we receive the lender’s closing instructions.

In some limited cases, sellers may have to bring funds to closing. If so, the Seller will have to bring certified funds, either a cashier's check or wired funds from their bank. This occurs if the cumulative amount of the payoffs on all loans secured by the property and other amounts you are to pay at closing (e.g., commissions, closing cost contributions, termite letter) exceed the sales price of the property.

            If the Seller does have to bring funds to closing, we will be able to provide you with a very close estimate of the necessary amount as soon as we receive the written payoff statements from the Seller’s loan holder(s), determine the commissions to be paid, and receive the invoices for any bills to be paid out of the sale proceeds at closing. This is usually between 24 and 4 hours before the closing - depending upon when we receive the final documentation.

            If either party does have to bring money to closing, it must be in the form of certified funds, either a cashier's check or wired funds.  Additionally, we’ll need to know the bank branch and contact information for verification of that instrument.

To Whom Does the Buyer/Seller have the Cashier's Check Made?

Please have the cashier's check made out to Title Source USA Escrow Account.  For all cashier’s checks originated Out-of-State, the remitting party will need to furnish Title Source USA will contact details for the bank branch where the check was issued for verification.

How are Funds Wired To You?

Here are our wire instructions or you may inquire with our personnel and we’ll be glad to furnish them to your bank.

What Are "Joint Tenants with Right of Survivorship" and "Tenants in Common" - Is There a Difference?

When more than one person buys or owns property together, they can hold title to the property in several ways: Either as "joint tenants with right of survivorship" (abbreviated as "JTWROS"); as "tenants in common"; or as separate individuals with distinct and severable interests in the property.

"Joint tenants with right of survivorship" means that each owner has a whole, undivided interest in the entire parcel of property. (Not that one owns the western half and the other the eastern half, for example). Upon the sale of the property, each owner would get one-half of the total proceeds. Because the owners have a "right of survivorship", if one were to die before the other, the deceased owner's interest would pass automatically to the surviving owner. The deceased owner's interest does not go through probate and cannot be given to an heir or devisee. This can be a great estate-planning tool.

 "Tenants in common" also means that each owner has a whole, undivided interest in the entire parcel of property. However, with no right of survivorship, if one tenant in common dies before another, the deceased's interest does not automatically pass to the other. Indeed, it could be devised to another person or, if the owner died without a will, then the interest in the property would pass to the deceased owner's legal heirs through probate.

Finally, if individuals hold distinct and separate interests, e.g. a divided "one-quarter" or "one-half" interest, then the individual has exactly that - a partial interest in the property in the amount stated.

Does the Buyer need to get a Survey?

If the Buyer is not financing their purchase or if the lender is one of the few that doesn’t require a survey or survey coverage for closing their loan, the Buyer may still wish to purchase a survey for “piece of mind” and for the additional title coverage it provides. 

A surveyor will indicate whether and where any easements, building lines, or set back lines exist on the property.  By obtaining a survey, a determination can be made if the property violates any restrictions, reservations, set back lines or homeowners' association restrictions. The survey also will show any encroachments from neighboring property.  That is, a survey will reveal if the soon-to-be neighbors have a fence, driveway, garage, etc. that that extends over the property line. 

Frequently, we hear home buyers discount the importance of a survey when they are buying new construction because they apparently believe that there can be no encroachment issues in new construction.  While the builders and developers in this area are very careful, new construction does not necessarily obviate the need for a survey.  Building set-back violations and driveway encroachments have been revealed on new construction surveys.

Additionally, some buyers wonder why you would need a survey if a plat of the subdivision has been recorded. A subdivision plat shows where the boundary lines of each lot in the subdivision are supposed to be and where building lines, homeowners association restrictions, set backs, drainage easements, and access easements exist. The plat, however, does not display the actual location of the house or other improvements on the property in relation to these restrictions. Only a survey drawn for the property will reveal this information and where the lot lines indeed fall.

Typically, the cost of a routine survey is about $275-450 for an average sized property in the Central Florida Area. Of course, the cost will increase for a larger tract of land or if there are complicated or numerous easements, encroachments, or improvements the surveyor must document.  Title Source USA maintains a list of reliable surveyors in the area and will be happy to assist you with the order.  (Please be advised that surveyors need as much notice as possible to prepare and complete your survey in time for a scheduled closing, and we must have sufficient time to review the survey prior to the closing.)

There is one additional benefit to obtaining a survey.  When an acceptable, properly certified, survey is presented either at closing or just prior to closing, Florida law requires the standard survey exclusion in an Owner’s Title Insurance Policy be removed, thus broadening your valuable coverage.  For even more coverage, a survey allows Title Source USA to issue the Purchaser the new Florida Form 9.2 Coverage.

Surveys

If the Buyer is not financing their purchase or if their lender is one of the few that doesn’t require a survey or survey coverage for closing their loan, you may still wish to advise the purchaser to obtain a survey for their own piece of mind and for the coverage it provides. 

Essentially, a survey is a map of the property drawn by a registered land surveyor to clearly delineate and show the property boundary lines, total acreage, and exact location of the house and other improvements. The surveyor also will indicate whether and where any easements, building lines, or set back lines exist on the property.  By obtaining a survey, the Purchaser can determine if the property violates any restrictions, reservations, set back lines or homeowners' association restrictions. The survey also will show any encroachments from neighboring property.  That is, a survey will reveal if the Purchaser’s soon-to-be neighbor has a fence, driveway, garage, etc. that that extends over the property line. 

Sometimes we hear Real Estate Professionals, Home Buyers and Sellers discount the importance of a survey when new construction is being purchased because they apparently believe that there can be no encroachment issues in new construction.  While the builders and developers in this area are very careful, new construction does not necessarily obviate the need for a survey.  Building set-back violations and driveway encroachments have been revealed on new construction surveys.

Additionally, some wonder why you would need a survey if a plat of the subdivision has been recorded. A subdivision plat shows where the boundary lines of each lot in the subdivision are supposed to be and where building lines, homeowners association restrictions, set backs, drainage easements, and access easements exist. The plat, however, does not display the actual location of the house or other improvements on the property in relation to these restrictions. Only a survey drawn for the property will reveal this information and where the lot lines indeed fall.

Typically, the cost of a routine survey is about $275-450 for an average sized property in the Central Florida Area. Of course, the cost will increase for a larger tract of land or if there are complicated or numerous easements, encroachments, or improvements the surveyor must document.  Title Source USA maintains a list of reliable surveyors in the area and will be happy to assist with ordering one.  (Please be advised that surveyors need as much notice as possible to prepare and complete your survey in time for a scheduled closing, and we must have sufficient time to review the survey prior to the closing.)

There is one additional benefit to obtaining a survey.  When an acceptable, properly certified, survey is presented either at closing or just prior to closing, Florida law requires the standard survey exclusion in an Owner’s Title Insurance Policy be removed, thus broadening your valuable coverage.  For even more coverage, a survey allows Title Source USA to issue the Purchaser the new Florida Form 9.2 Coverage