There are some questions that just get asked all the time.  Rather than writing a full article on each, I’m just going to give some quick responses today.

Q: How Long is the Real Estate Closing Process

A: Well this depends – and for the most part, it doesn’t depend on the closing attorney.  The bank (in a refinance) or the bank and the seller (in a purchase) are going to be the determining factors – as well as you, the borrower.  If you get the bank all of the information they ask for, as soon as they ask for it, banks can usually get a refinance (or the bank side of a purchase) done in as little as 2-6 weeks.  You should also decide on your real estate attorney quickly, so that the attorney can get started.

Delaying factors could include a seller that is not ready to move, a bank that is just slow, or a title search that comes up with problems.

Q: How Long is a Real Estate Loan Closing Itself?

A: Real Estate Loan Closings usually take between 30 and 60 minutes.  Depending on the speed of the borrower and the attorney, and the size of the loan package, the closing may take up to two hours.

Q: Do Both Parties Sign in the Real Estate Loan Closing Process?

A: This question is mainly only relevant to purchases.  The only people that sign in the closing process are those who’s names are on title to the property.  This means that in a purchase, only the buyer/borrower is signing.  The seller will sign a deed, a transfer tax form, and a couple of other forms, but they are not part of the loan closing itself.

Q: I Want To Move My Property From Me to My Wholly Owned Business.  Do I Need A Lawyer?

A: This is a loaded question.  For the sake of this question, I am also going to assume that it is being asked about an LLC or Corporation and not a Sole Proprietorship.

If you have a current loan on your property, you will need the banks permission to transfer the loan to your business – even if you own the business yourself, and even if it uses pass-through taxation.  As to the actual question at hand – you do not have to have an attorney, but I never recommend doing property transfers without one.  A simple, seemingly innocuous mistake can make your life miserable down the line.

Q: In a Short Sale, is the Owner Really Off the Hook?

A: Maybe.  It depends on the exact agreement with the bank.  That being said, in most cases, yes, the bank will discharge the remainder of the debt – otherwise a short sale is fairly pointless for the borrower.

Q: Can a Bank Sell a Home Even After a Loan Modification?

A: Loan Modifications are tricky.  They contain a lot of complicated language and agreements.  If the loan modification has actually been granted and finalized, and you have adhered to the new terms, the bank probably cannot foreclose on, and sell, the home.  That being said, they usually do not grant a forbearance during the loan modification process – so they can still go after you right up until when they grant a modification.  Also, of course, once the modification is granted, if you don’t keep up payments, they can bring you into foreclosure all over again.

If you need help with any of these topics, don’t hesitate to contact the Hamad Law Firm, LLC, today.