Settlement is where the money and deed change hands-you pay the seller and the seller gives you the keys and deeds the property to you.

Who Attends Settlement?
Representatives from the settlement company will be there, of course. It is their job to collect the funds, have the papers signed and filed at the courthouse, disburse the funds, issue the title policy , and resolve whatever issues arise at or after settlement.

The real estate agents involved in the transaction will generally be in attendance and, of course, you and the sellers will be there to execute the documents.

How Long Will Settlement Take?
If all goes well, settlement will be completed in about 45 minutes.

What do you do at Settlement?
First, make sure that you have brought certified funds or a bank check for the balance of your down payment and closing costs. The settlement attorney will then go through all the settlement documents with you, explaining their purpose. You will sign all the documents, give us our check, and receive the keys to your new home.

What to Expect after Settlement

Make sure all subscriptions are transferred to your new address. The Postal Service forwards magazines and newspapers for a short time. First Class mail will be forwarded for one year.
Within two days, Ed McMahon will know where you are.
Within ten weeks: You will receive your original recorded deed and owner's title insurance policy from the settlement company.
Keep your settlement statement in a safe place.

Glossary of Settlement Terms

Addenda - Attachments to a contract or other form that adds to the terms of that contract or form.

Assumption - Taking over another's responsibilities - taking over the sellers' obligation to pay off a loan.

Contract - a written agreement setting forth terms of agreement between two or more people.

Deed - a Document signed by the seller transferring the title to the purchaser.

Deed of Trust - A document which gives a lender security that the loan it secures will be paid. If the loan is not paid the lender will have the right to foreclose on the borrower and become the owner of the property (your house) for which the loan was given.

Lien - A document filed in the courthouse which states that certain monies must be paid to the person who placed the lien on the property before clear title can be transferred to another person.

Listing - An agreement between an owner of property and a real estate broker whereby the broker agrees to market the property for sale and the seller agrees to pay the broker a fee or commission when the property is sold.

Master Plan - The local government's plan for building in a certain area. It would tell you where any new roads or other construction is planned.

MRIS (Metropolitan Regional Information Services) - A system by which all real estate agents that belong to a local board of realtors can show all the properties listed in the system to prospective purchasers regardless of which company's sign is in front of the property.

Note - An I.O.U. - a written promise to pay a certain amount of money, at a certain time, or in a certain number of payments at a certain interest rate.

Types of Ownership - There are four types of ownership. They are:

a. Sole Ownership - Only one person owns the property.

b. Tenants in Common - Two or more persons have a divided ownership in the property. The percentage of ownership need not be equal; each party has a right to sell their interest, and upon the death of any of the owners that owner's interest in the property goes to whomever they designate in their will.

c. Joint Tenants - Ownership taken by two or more persons at the time with an undivided right to possession. If one owner dies, their interest automatically goes to the remaining owners.

d. Tenants by the Entireties - Owners are husband and wife and each own the entire property. If one dies the other automatically gets the property and neither husband nor wife can sell their interest to the property without the other.