What Happens at a Real Estate Closing

Having an attorney when you are buying or selling a house is extremely important in Illinois, particularly for the real estate closing. While your real estate attorney will assist you throughout the process of purchasing or selling residential or commercial property in the Oak Park area, the closing is especially complex. Whether you are considering buying or selling property, or you are already making a purchase or selling, you might be wondering: what happens at a real estate closing? Most laws concerning residential and commercial property are governed by Chapter 765 of the Illinois Code, but there are also other important laws that may be applicable to your circumstances. Our Oak Park real estate attorneys can discuss the process with you, and we can talk with you today about your needs for your real estate sale or purchase.

Steps in Anticipation of Closing

Before a buyer closes on a piece of domestic or commercial property and the transaction is officially closed, certain steps must be taken first. These steps taken in anticipation of closing are done by a real estate attorney. The seller’s attorney will draw up a sales contract, and the buyer’s attorney will review the contract, make any revisions or additions, and the parties (buyer and seller) eventually will agree on the terms of the sales contract and sign it, and the buyer will provide a deposit check. The buyer will need to have the property inspected and appraised, will have the property surveyed in some cases, will need to obtain proof of insurance, and will order a title search.

The title search will involve a search of public records that may include liens, deeds, mortgages, assessments, and any legal documents that could affect the property and its title. Once the title search is complete, the parties will obtain a copy of the title report.

During the Closing

A real estate closing is a meeting in which the buyer and the seller (or seller’s attorney) will meet. You should also anticipate that the lender will be present. At the closing meeting, the parties will sign documents related to the sale of the property, the mortgage and financing, and closing costs and escrow will be paid.

At closing, buyers (and sometimes sellers, depending on the agreement) should expect to pay a range of costs, such as:

  • Processing fees (for the bank, a credit report, the appraisal, and more);
  • Title insurance;
  • Recording fees;
  • Interest;
  • First mortgage payment;
  • Property tax;
  • HOA fees, where relevant; and
  • Insurance.

Some of these fees may be paid ahead of time, while others might not become due until after the closing. The critical thing to remember is that the closing meeting is complex, and parties should always have a real estate attorney to ensure that the process goes smoothly.

Contact an Oak Park Real Estate Attorney

If you have any questions about the real estate closing process or other aspects of buying or selling commercial or residential real estate, it is important to seek legal advice. An experienced Oak Park real estate lawyer at our firm can speak with you today about your circumstances, and we can answer any questions you have about real estate law in Illinois. Contact the Emerson Law Firm to learn more about how we can assist you.



See Related Blog Posts:

What is the Real Property Transfer on Death Instrument Act?

What Does a Real Estate Lawyer Do?

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