First-Time Homebuyer Guide
New to buying a home? Our comprehensive guide walks you through every step of the process, from making an offer to closing day.
Resources
Guides and answers
Helpful information to guide you through the title insurance and closing process.
Closing Checklist
Don't forget anything! Our detailed checklist helps you prepare for closing day and ensures a smooth transaction.
Seller's Guide
Selling your home? Learn what to expect during the title and closing process from the seller's perspective.
Understanding the closing process
What happens at closing?
The closing (also called settlement) is the final step in a real estate transaction. This is when ownership of the property officially transfers from the seller to the buyer. During closing, you'll:
- Review and sign all necessary legal documents
- Pay closing costs and down payment
- Receive the keys to your new property
- Obtain your title insurance policy
Documents you'll sign at closing
Be prepared to review and sign several important documents, including:
- Closing Disclosure: Details all costs associated with your loan
- Promissory Note: Your promise to repay the loan
- Deed of Trust/Mortgage: Secures the loan with the property
- Title Insurance Policy: Protects your ownership rights
- Bill of Sale: Transfers personal property included in the sale
- Affidavits: Legal statements about the property's condition
What to bring to closing
- Government-issued photo ID (driver's license or passport)
- Cashier's check or proof of wire transfer for closing costs
- Proof of homeowner's insurance
- Copy of your purchase agreement
- Any additional documentation requested by your title company
How long does closing take?
A typical closing takes 1-2 hours, though it can vary depending on the complexity of your transaction. We recommend arriving early and allowing extra time to review all documents carefully.
Frequently asked questions
What is the difference between title insurance and homeowner's insurance?
Homeowner's insurance protects you against future events like fire, theft, or weather damage. Title insurance protects you against past events – problems with the property's title that existed before you purchased it, such as unknown liens, ownership disputes, or errors in public records.
Do I need both lender's and owner's title insurance?
If you're getting a mortgage, your lender will require lender's title insurance to protect their investment. Owner's title insurance is optional but highly recommended – it's the only way to protect your equity in the property from title defects.
How much does title insurance cost?
Title insurance is a one-time premium paid at closing. In North Carolina, rates are regulated by the state. The cost is based on your property's purchase price and is typically a small percentage of that amount. Contact us for a specific quote.
Who pays for title insurance – the buyer or seller?
This varies by region and is negotiable. In North Carolina, it's common for the seller to pay for the owner's policy and the buyer to pay for the lender's policy, but this can be negotiated as part of your purchase agreement.
How long does a title search take?
A typical title search takes 3-5 business days, though complex properties or those in certain counties may take longer. We work diligently to complete searches as quickly as possible while maintaining thoroughness.
What happens if the title search reveals a problem?
If we discover any title issues, we'll work with all parties to resolve them before closing. Common solutions include paying off liens, correcting documentation errors, or obtaining releases from previous owners. Most issues can be resolved without delaying your closing significantly.
How long does my title insurance coverage last?
Owner's title insurance lasts for as long as you or your heirs own the property. Unlike other insurance, you pay only once – at closing – and you're covered for the entire time you own the home. Lender's insurance expires when the mortgage is paid off.
What is a title defect or cloud on title?
A title defect (or cloud) is any claim, lien, or encumbrance that could impair the owner's title or make it unmarketable. Examples include unpaid taxes, contractor liens, easements, boundary disputes, or claims from previous owners. Title insurance protects you from financial loss due to these defects.
Can I choose my own title company?
Yes! As a buyer, you have the right to choose your title company. We encourage you to select a company you trust with excellent service and competitive rates. At ATV Venture Title, we pride ourselves on making the closing process smooth and stress-free.
What is a closing disclosure and when will I receive it?
The Closing Disclosure is a five-page document that provides final details about your mortgage loan. By law, you must receive it at least three business days before closing. This gives you time to review all costs and compare them to your Loan Estimate.
Still have questions?
Our experienced team is here to help guide you through the process.
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