Why do I need an attorney to perform my closing?
Where will my settlement take place?
What do I need to bring to my settlement?
Do I need to bring a certified check or certified funds to my settlement?
When will I know the final amount I will need at settlement?
Does the buyers attorney represent the seller too?
Do I need to have a survey?
Why do I need to have a title search?
Why do I need title insurance?
What is the difference between a Lender's policy and an Owner's policy of title insurance?
What other legal services are available from your firm?




Q: Why do I need an attorney to perform my closing?

A:
The State of Delaware requires that an attorney licensed to practice law in Delaware conduct real estate settlements. This requirement is meant to ensure that buyers are protected from unscrupulous settlement agents. Delaware law also requires that all funds received in connection with the settlement be deposited into and distributed from an attorney's escrow account.

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Q: Where will my settlement take place?

A:
The great thing about SPN Title Services is our commitment to travel anywhere in Sussex County to perform your closing. One of our attorneys will come to your realtor's office, your business or your mortgage company to conduct your closing. All at no extra charge. Or, if it is more convenient for you, settlement can take place at our Dagsboro office, just minutes from the beach.

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Q: What do I need to bring to my settlement?

A:
You will need to bring a valid government-issued photo ID, such as a drivers license, state identification card or military identification card. If the settlement is outside of our office it is a good idea to provide a photocopy of the identification card.

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Q: Do I need to bring a certified check or certified funds to my settlement?

A:
Most closing funds are sent by wire transfer from your bank to our attorney escrow account prior to your settlement. Alternatively, for smaller amounts you may bring a certified check.

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Q: When will I know the final amount I will need at settlement?

A:
Once we receive the lender's closing instructions, our processors will promptly complete the Settlement Statement. Lenders typically provide closing instructions and approve the Settlement Statement before the day of closing. However, in some cases we will not know until the day of closing. In the event your lender delays final approval until the day of closing, we will provide you with an estimate on the amount required. If the amount estimated is too high we will provide you with a check for the difference at closing.

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Q: Does the buyer's attorney represent the seller too?

A:
At settlement, the attorney represents the buyer. Although sellers typically do not have attorneys, they certainly can. Because part of the settlement process requires paying off mortgages and possibly other liens against the property, we must contact the seller's mortgage company or other creditors to obtain pay off statements.

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Q: Do I need to have a survey?

A:
No, but we strongly recommend that you have a survey performed when you purchase property, especially commercial property. A survey is a great tool for helping buyers understand the exact boundaries of their new property. It also alerts buyers to potential problems, easements, encroachments, or zoning violations.

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Q: Why do I need to have a title search?

A:
The title search is a process to determine who has the legal right of ownership of a piece of property, and consists of searching the public records at the Recorder of Deeds office in the county where the property is located. The property is traced back up to 60 years. You can visualize this process as researching each link in the chain of title. All prior owners of the land must have conveyed fee simple marketable title to the next owner in the chain. Your land sale contract requires the seller to convey fee ?marketable? title. This means you are buying the property free of any liens or judgments. Also, in some instances a lender may want to use this information for title insurance, adding a high level of security to the lender's investment.

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Q: Why do I need title insurance?

A:
Around 25% of all residential real estate transactions in this county have title issues. All lenders require that you purchase title insurance so that if there is lien that was missed or there are any other claims to the title, such claims are paid to protect the lender's interest in your property. When you purchase a home we strongly recommend that you also purchase owner's coverage to protect your interest in the property over the amount of the mortgage. For a one-time premium that is modest in relation to the value of property involved, the purchaser receives the protection of a title policy backed by the reserves and solvency of an insurance company.

You can estimate your title insurance cost through Fidelity by clicking
here.

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Q: What is the difference between a Lender's policy and an Owner's policy of title insurance?

A:
An owner's policy is typically issued in the amount of the real estate purchase price, and remains in effect for as long as the owner, or his or her heirs, retains an interest in the property. It offers protection against various hazards, including those even the most thorough search of the public records do not disclose, such as forgeries, missing heirs or recording errors. And, the Owner's Policy will pay valid claims as well as defense costs against attacks on the title to your property.

A lender's policy assures the lender of the validity, priority and enforceability of its lien (mortgage) ? serving as protection for the lender's security interest in the property. A loan Policy is issued in the amount of the loan, and liability decreases as the mortgage debt is reduced. It also guarantees the lender a valid and enforceable lien, and assures that no claimant other than those noted in the policy has a prior claim against the real estate.

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Q: What other legal services are available from your firm?

A:
Our attorneys at SPN Title Services conduct residential and commercial closings in both Delaware and Maryland. Additionally, our attorneys are certified to teach continuing education to realtors in the State of Delaware. In addition, we are very proud to be a division of The Norman Law Firm, which has been recognized as one of the top civil rights and personal injury litigation firms in the area.

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