CONQUERING THE Closing Process REPRESENTATION

Residential real estate closings are handled in several different ways among the various states. In some states title companies handle the process; escrow companies in others. In Georgia, most closings occur with the assistance of an attorney who specializes in real estate transactions.

Regardless of whether a choice is permitted, the attorney represents only the lender. Because of ethical considerations due to a possible conflict of interest among the various parties to a closing, an attorney representing the lender should not represent any other party to the closing. Therefore, if the borrower desires representation, independent counsel should be obtained. Of course, if a lender is not involved in financing the transaction, the purchaser will select an attorney to represent his or her interest.

An attorney selected after the signing of the contract of sale to handle the closing customarily will examine the title to the property, prepare the sale and loan closing documents, conduct the closing, arrange for the recording of the closing documents, issue the lender’s and, if desired, owner’s title insurance, and disburse the lender’s and/or purchaser’s funds.