A settlement is the final transaction in the purchase of your property. It involves an exchange of title for cash or an agreement of payment. The settlement (or escrow) agent serves as a neutral third party who manages the transaction, disbursing funds sin accordance with the agreement of the parties involved in the purchase. To simplify the settlement, each party should have the following items prepared and available:

The Seller

1. Deed, other required title documents and curative documents
2. Payoff statements from the holder of existing liens
3. All unrecorded releases of liens or discharges of mortgages in his/her possession
4. Most current paid real estate tax statements and receipts
5. A statement showing the amount of real estate commissions to be paid out of the settlement and to whom payable
6. An agreed division of charges for title premiums, recording fees and settlement charges
7. Copy of the earnest money contracted, fully executed and dated: also any bill of sale covering personal property or required property condition disclosers

The Purchaser

1. Required funds in the form of a certified check, cashiers check or wire transfer
2. Required hazard insurance policies
3. Other documents required by the earnest money contract

The Lender

1. Written closing instructions describing the lender’s requirements for insurance in connection with the closing and funding, including:
   • Hazard insurance requirements
   • Special provisions required to be in mortgage policies
   • Payment of service charges and mortgage costs
   • Any other materials relating to the settlement