Okay, so you've finally bought your dream house or real estate property in Virginia. Negotiations have closed, you and the home seller have agreed on the terms and conditions and you're ready to make your payment. You're looking forward now to getting the property title and moving to your new home.
So what's the next move? Before you pack your things and move, you still need to follow some settlement procedures and have your title recorded at the court house of the county in Virginia where your property is situated.
After the close of your negotiations, there will be a settlement meeting between you and a title attorney or a settlement officer. The seller will also have to be there. During this meeting, you will be signing all the documents pertaining to the financial transaction.
In Virginia, what normally transpires during this meeting is the attorney will explain the legal documents that need to be signed by both the seller and buyer. This is also an opportunity for the two parties involved to talk about the property with the seller giving tips to the buyer as to the reliable people to call when there are problems in the heating, plumbing and electrical systems of the house or how to ensure the property's security all the time.
As the buyer, you will be signing the mortgage documents and other legal papers needed to complete the transaction. It is also during this time that you will be paying the balance of your down payment and other closing costs. The seller, for his part, will sign the deed that will transfer the property title to you. And you should be receiving the keys to the property right after the signing.
Some of the documents involved during this settlement process and that you should be aware of include the deed, survey, title inspection and insurance among others.
The deed is the title of the property which serves as the proof of your ownership of the house. This provides a legal description of the property as well.
The deed of trust or mortgage is another one. This serves as your agreement to repay your mortgage loan at specific dates. Together with the title, this will be recorded at the land records.
The survey document will show the boundaries of the property, structures in place and distances of the structures from the boundaries. This survey is usually ordered by the title office.
The other important document is the title inspection. This is proof that the attorney has reviewed the land records of the house and the absence of liens against the property thereby confirming that you will be getting a clean title. Should there be liens, they have to be paid off if possible before the transfer of the title.
The title insurance is the last document the attorney will ensure. This insurance policy will protect you and your property in Virginia against possible losses of any claims in the future.
The main document where the transaction will be entered into is known as the HUD-1 settlement statement. You need to keep this document because it can eventually be used as proof of your possible tax deductible expenses such as regarding pre-paid interest, origination fee and discount points.
No comments:
Post a Comment