In this post, you'll learn about the different documents you need to review. They are the real estate transfer documents and the home loan documents.
Real Estate Transfer Documents
The majority of the documents associated with the transfer of ownership of the property need to be signed by the seller, and shall be delivered to you.
The deed transfers the property from the seller to the buyer. The form and language of this document is in accordance to the state law, but buyers can select the kind of ownership in which the title is taken. It could be in joint tenancy, in trust, or in other tenancies.
The Bill of Sale
This document transfers all the personal property being sold together with the house, including appliances, air conditioners, furnaces, and so on. This document should list all items to be transferred.
The Affidavit of Title
This is a notarized statement by the seller confirming ownership of the property, and also describing any known defects in the title, such as liens, leases, or any work on the property that may cause boundary line disputes or liens.
Transfer of Tax Declarations
It is standard for most countries and states to charge real property transfer taxes and also to require the seller and buyer to sign declarations that disclose the purchase price so that the corresponding tax may be calculated.
Home Loan Documents
Another set of documents involved in buying homes for sale in TXare home loan documents, which are prepared by the buyer's lender.
This serves as evidence of your debt to your lending agency. It contains a description of the loan terms, as well as how the lender will collect the debt.
This is your agreement to place the property as collateral for the loan.
This is a new form that contains all the information you provided the lender with during your initial loan application.
Loan Estimate and Closing Disclosure
If you applied for a mortgage on or after October 3, 2015, you will receive a "Loan Estimate" and a "Closing Disclosure," as a replacement for the HUD-1 Settlement Statement, the Good Faith Estimate, and the Truth-in-Lending disclosure form, which used to be requirements in mortgage loan closings.
If you're about ready to buy a property from the new listing homes in Texas, make sure you hire a real estate agent from the Baker Realty Group, who will guide you throughout the entire process of purchasing a property.