What is Settlement?
A settlement is an arrangement where an Attorney working independently or with a Settlement Agent, draws up the necessary legal documents, coordinates the myriad details of the transaction for both the buyer and seller.
People buying and selling real estate use an Attorney or a Settlement Agent to conclude the Real Estate Transaction.
The settlement process was developed to help facilitate the sale or purchase of your home. The Attorney or Settlement Agent accomplishes this by:
- Acting as the impartial stake-holder, or depository of documents and funds
- Processing and coordinating the flow of documents and funds
- Keeping all parties informed of progress on the escrow
- Responding to the lender’s requirements
- Securing a title insurance policy
- Obtaining approvals of reports and documents from the parties as required
- Prorating and adjusting insurance, taxes, rents, etc.
- Recording the deed and loan documents
- Maintaining security and accountability of monies owed and owing.