A step-by-step guide to the real estate closing process, so you know exactly what to expect from contract to keys.
The real estate closing process can feel overwhelming, especially for first-time buyers. At First Source Title Agency, we believe that informed clients are confident clients. This road map walks you through each phase of the closing process, from the initial title search through post-closing activities.
While timelines can vary based on the complexity of the transaction, the type of property, and the requirements of your lender, a typical residential closing takes between 30 and 45 days from executed contract to settlement. Our experienced closing teams work diligently to keep every transaction on schedule.
Each step brings you closer to the finish line. Here is what happens at every stage.
Once we receive the title order, our team conducts a comprehensive search of public records to establish the chain of ownership for the property. This includes examining deeds, mortgages, liens, judgments, easements, and any other encumbrances recorded against the property. The search typically covers a minimum of 30 years of recorded history to ensure a complete picture of the property's title.
A licensed title examiner reviews the results of the title search to identify any issues that could affect the transfer of ownership. This includes verifying the legal description of the property, confirming the current vesting (who owns it), and flagging any outstanding liens, unpaid taxes, or unresolved legal matters. If title defects are discovered, our team works with all parties to resolve them before closing.
The title commitment (also called a title binder) is a document issued by the title insurance underwriter that outlines the conditions under which a title insurance policy will be issued. It includes the requirements that must be met before closing (such as paying off existing mortgages) and any exceptions that will appear on the final policy. All parties should carefully review this document and address any concerns promptly.
Our closing team prepares all legal documents required for the transaction, including the deed, settlement statement, affidavits, and any lender-required documents. We coordinate with the buyer's lender to ensure all loan documents are received and reviewed for accuracy. Every document is carefully checked against the terms of the purchase agreement and the title commitment to prevent errors at the closing table.
Federal regulations require that the buyer receive their Closing Disclosure (CD) at least three business days before the scheduled closing date. The CD details every financial aspect of the transaction, including the loan terms, monthly payment, closing costs, and cash required at closing. Buyers should compare this document to their original Loan Estimate and raise any discrepancies with their lender immediately.
The buyer conducts a final walk-through of the property, typically within 24 to 48 hours of closing. This is the opportunity to verify that the property is in the agreed-upon condition, any negotiated repairs have been completed, and no new damage has occurred. While not managed by the title company, this step is crucial and should be completed before arriving at the closing table.
On closing day, all parties convene to sign the final documents. The buyer signs the mortgage documents, the seller signs the deed transferring ownership, and both parties sign the settlement statement. Our closing agent reviews each document with the signers, answers questions, and ensures all signatures and notarizations are properly executed. Buyers must bring a valid government-issued photo ID and any required certified funds.
After all documents are signed and funds are received, the deed and mortgage are submitted to the county recorder's office for official recording. This step makes the transfer of ownership a matter of public record. In most Ohio counties, recording typically occurs the same day as closing or the following business day. The transaction is not considered complete until recording is confirmed.
Once recording is confirmed, our escrow team disburses funds to all parties. The seller receives their net proceeds, existing mortgages are paid off, real estate commissions are distributed, and any prorated taxes or assessments are settled. All disbursements are made in accordance with the signed settlement statement. Sellers typically receive their funds via wire transfer within one to two business days of closing.
After closing, our team handles the final details. We issue the owner's and lender's title insurance policies, distribute recorded documents to all parties, and ensure all title commitment requirements have been satisfied. The buyer will receive their recorded deed and title insurance policy by mail, typically within 4 to 8 weeks after closing. If you have any questions after closing, our team remains available to assist you.
Follow these best practices to keep your closing on track.
Return all requested documents and information as quickly as possible. Delays in providing paperwork are one of the most common causes of postponed closings.
Do not make large purchases, open new credit accounts, or change jobs between contract and closing. These actions can affect your loan approval and delay settlement.
Keep open lines of communication with your lender, real estate agent, and our closing team. If anything changes or concerns arise, notify the appropriate parties right away.
Always call our office directly at (855) 716-9000 to verify wiring instructions before sending any funds. Never rely solely on email for wire transfer details.