Smith, Welch,
Webb & White

While buyers and sellers often consult with a real estate attorney of their own to do title searches, check documents (including the closing documents), or get legal advice, usually the closing attorney handles the closing alone, without input from other legal professionals, or any other attorneys being present. But there is nothing to stop the buyer and/or seller from having their attorney with them at the closing.

The federal law that covers the closing is the Real Estate Settlement Procedures Act (RESPA), and this legislation applies in addition to the local Georgia real estate license law that the Georgia Real Estate Commission administers. Chapter 47 of the local state property law specifies the process involved for first mortgage loans. The real estate closing attorney’s role is also specified in this chapter.

Amongst other things, it is the Georgia real estate closing attorney’s responsibility to:

1. Ensure all documents are completed correctly

2. Ensure deeds, affidavits, and all other documents are delivered to the right people

3. Prepare the settlement or closing statement

4. Disburse money in terms of the closing statement

Georgia law also requires the closing attorney to prepare a detailed statement that shows all disbursements and receipts from the buyer and the seller, and this must be given to both parties and possibly the broker if there is one involved.

Our closing attorney will give you a list of documents you will need to bring with you to closing. Generally, those include:

• Wired funds for the down payment and other buyer costs;

• Insurance policy (must be ordered prior to closing from any licensed insurance company) and a bill or paid receipt;

• Any paperwork still required by the lender (for example, a termite inspection report); and

• Photo identification (valid driver’s license, state-issued ID or passport)

If you are a buyer in a cash sale with no lender, please let us know so that we can provide you with an accurate closing figure of the amount you will need to wire or bring well in advance of the closing.

If you are a buyer and using a lender, you may either contact us to provide you with an accurate closing figure or contact your lender to obtain a closing estimate.

If you are a seller and need to bring funds to closing, it is best to contact us to provide the exact amount you will need to wire or bring to closing in the form of a cashier’s or certified check.

Title refers to a person’s legal rights to ownership and possession of land. Whenever property is sold, the title (or rights to the property) is transferred from the old owners to the new, by virtue of a deed. The deed is then filed with the Register of Deeds office for the county in which the property is located.

Your title search fees are included in our closing costs. This search will assist the examiner or closing agent in determining whether there are any real estate disputes such as fraudulent conveyances, unrecorded documents, unpaid property taxes, unreleased liens, issues with the legal description of the property, and more.

When you have title insurance, you receive coverage for any claims or legal fees that may arise in the event of a dispute. According to the American Land Title Association, one in four real estate transactions uncover a title complication of some sort. More than $600 million per year is paid out by the title insurance industry. Not having title insurance can cost you exponentially more than paying for it does.

When it comes to the types of Title Insurance available, there are two: Lender’s Policy and Owner’s Policy.

A lender’s policy is designed to only protect the lender. If you take out a mortgage, then your lender will likely require a policy for an amount equal to the loan. You, the borrower or buyer, pay the one-time premium at closing.

• Coverage for a lender’s policy remains in effect for the life of the loan
• Coverage stops once the loan is paid in full and released
• Coverage does not protect the owner’s equity in the property

To help fully protect yourself, you should also consider an owner’s policy.