Real Estate Law: What Should You Know About Closing Your Mortgage?
Posted on: 16 June 2022Share
If you're in the final phase of purchasing your home, call a real estate attorney soon. You may need someone to help you close your mortgage before you take over the home. If you don't obtain the services of an attorney, it may cause you major problems later on. Learn more about the final phase of mortgaging a home and how a real estate attorney can help you close your mortgage below.
What's Closing and How Does It Work?
Purchasing a home can be one of the greatest things people can experience today. But before a family or an individual takes possession of their new home, they must close out their mortgage first. One of the most important things a buyer must do before they move into their new home is close, or settle, their mortgage.
Banks and other financial institutions use mortgages, or real estate loans, to finance homes and properties. Mortgages also allow a seller to legally transfer their home and property to a buyer or someone else. Once a buyer takes out a mortgage on the home or property, they become liable, or legally responsible, for repaying it.
Closing protects the buyer from things that may affect their mortgage, including:
- hidden or unforeseen property transfer fees
- expensive home repairs
- concealed creditor liens and lawsuits
Closing allows you an opportunity to discover and settle the issues above before you sign and complete your mortgage. A real estate attorney can help you close your mortgage out properly.
How Can a Real Estate Attorney Assist You?
A real estate attorney will go over your mortgage, or closing, forms thoroughly before you sign them. The language, or specifications, of the forms must be clear, precise, and truthful. Your closing forms shouldn't contain anything that conflicts with the terms of your mortgage or original loan.
For example, the mortgage fees listed on the closing forms should be the same as the mortgage fees listed on your original loan. If the terms don't match or look the same, an attorney can learn why the fees changed and correct them if needed.
An attorney can also check the home's repair and lien histories. If the closing forms don't contain histories of the home's previous repairs and liens, a lawyer can request information on both. If you sign the closing forms without the knowledge above, you may need to repair the home or repay the lien holders yourself.
Learn more about mortgage closing by contacting a real estate attorney for services today.