We here at Progressive Title Agency, Inc., understand that selling your home without the use of a qualified Realtor® could not only be time consuming but it could also be complex not to mention overwhelming. If you decide to sell your home by owner? We can offer some excellent resources to help make this process a little more easier for you.
On the tabs below are the five steps that should help you understand the purchase process. The information contained on these tabs should help make your purchase transaction go both smoother and easier.
Click on the tabs above to see the five steps in selling your home as well as the costs associated in closing your transaction. If you are still not sure about taking on this endeavor please click on the “I need help” button and we will be more then glad to help you thru this process.
STEP ONE: THE PURCHASE AGREEMENT
It is often said that the Purchase agreement is the “blue print” for the entire transaction, and therefore, is the most important document that you will sign. It will dictate the remainder of the closing transaction, as well as bind you to the deal. The Seller and Buyer must work together to arrive at the terms of this agreement. Legal counsel should be sought for the preparation and execution of this document. In most cases the Purchase Agreement will address the following terms:
- Legal Description and Property Address
- Purchase Price
- Type of Sale (Cash, New Mortgage, Land Contract, Assumption)
- Earnest Money Deposit
- Mortgage Contingencies (if Applicable)
- Occupancy Terms
- Personal Items included in the transaction (All Window Treatments, Stove, Refrigerator, etc…)
- Water Escrow Terms
- Tax Escrow Terms
- Home Warranty
STEP TWO: PLACE THE TITLE ORDER
After the Purchase Agreement has been executed by all parties, call our Order Desk at (248) 552-7500 to place the order for Title Insurance. Please be sure to inform our representative of any prior title policy. You may be entitled to a credit. (REMEMBER, Progressive Title Agency, Inc., may give you a credit toward your title premium if you submit an old policy, even if it was issued by another title company.)
At the time the title order is placed, Progressive Title Agency, Inc., shall forward a letter, listing the name of your Closings Coordinator who will assist you during the transaction and some questionnaires requesting the following information:
ITEMS THE BUYER WILL NEED PRIOR TO CLOSING
- Proposed Lender information, if Buyers are financing a portion of the sale (Name of Lending Institution, Address, Phone Number, and Loan Officer’s Name)
- Name and Address of Attorney (if Buyers require that documents be delivered to Counsel)
ITEMS THE SELLER WILL NEED PRIOR TO CLOSING
- Executed Payoff Request (Completed with Lender’s Name & Address, Loan Number and Seller’s Signature and Social Security Number)
- Association (Homeowners/Condo) Status Letter (If Applicable)
- Old Title Insurance for Credit
- Name and Address of Attorney (if applicable)
WHAT WILL PROGRESSIVE TITLE PROVIDE?
STEP THREE: THE TITLE INSURANCE COMMITMENT
This document shows the proposed insurance coverage begin extended to the Buyer and the Lender (if applicable). It will also show the current owner of the property and any requirements that must be completed at closing, as determined by a search of the county records. These requirements must be met at/or prior to closing. The commitment will also recite a file number in the upper right hand corner on the first page. You may reference that number when contacting Progressive Title in regards to your transaction.
WHAT ELSE WILL PROGRESSIVE TITLE PROVIDE?
STEP FOUR: THE CLOSING PACKAGE
Progressive Title proudly offers a closing package for preliminary review that is easy to read and professional in quality and appearance.
When all the necessary documents and information have been received, the Buyer has been approved for his/her mortgage (if applicable), and all parties involved in the transaction are ready to close (meeting any time constraints as set forth in the Purchase Agreement), contact Progressive Title’s Escrow Department at (248) 552-7500 to schedule your closing. Soon afterwards, we make available to all parties a copy of the closing documents for review. These Documents will be tailored to your closing needs, but will typically include the following:
- Seller Settlement Statement:
The Seller Settlement Statement is a detailed list of all the Credits and Charges that will affect the Seller’s net proceeds.
- Buyer Settlement Statement:
The Buyer Settlement Statement is a detailed list of credits and charges that will affect the amount, if any, needed from the Buyer for Closing Costs. This figure does not include mortgage closing costs, which must be obtained from the Lender.
- Disbursement Schedule:
The Disbursement Schedule shows the source of all monies to be collected, and in turn, disbursed to the respective recipients according to the Sellers/Buyers Settlement Statements.
- Bill of Sale (if applicable):
The Bill of Sale describes and transfers the Seller’s ownership interest in personal property (Ex. Washing machine, dryer, etc…) And becomes the purchaser’s ownership document for those items which are agreed to in the purchase agreement.
- Water / Sewer Escrow Agreement:
This Water / Sewer Escrow Agreement describes the terms and conditions under which the water / sewer escrow will be held and later disbursed. Any necessary escrow will be held based upon the terms contained in the Purchase Agreement. As a rule, a minimum of $300.00 is withheld from the Seller’s proceeds to satisfy unpaid water charges until a final reading can be obtained.
- Occupancy Escrow Agreement:
The Occupancy Escrow Agreement dictates the terms and conditions under which any escrowed occupancy funds will be disbursed. This document sets forth the number of days a Seller may continue to occupy the home and at what cost per day.
- 1099-S Report:
The information provided by the Seller is transmitted to the IRS to report the sale of the property, as well as the gross sales price, as required by law. Sellers must provide Social Security Numbers at the time of closing.
- Payoff Statement:
Progressive Title Agency, Inc. will order, if requested, a Payoff Statement for any secured liens against the property. These may include mortgages, land contracts, or any other encumbrances against the property. These statements, provided by the lienholders, show the amounts necessary to pay them in full.
- Title Transfer Document:
This document will normally be in the form of a Warranty Deed or a Land Contract and conveys the Seller’s interest in the property to the purchaser.
WHAT DO I NEED TO BRING?
STEP FIVE: THE CLOSING
The closing will be scheduled at a time and place convenient for all parties. After the Seller and Buyer have agreed upon a time, it is necessary to contact Progressive Title Agency, Inc., so the date can be confirmed with the lender and the documents prepared. You will need to bring the items listed below to your closing, along with any specific requirements given in your closing package or as directed by the lender. Please be sure to bring these items, as the omission of any item could cause a delay in your closing. The typical items to bring are:
- All interested parties must be at closing (EX: Spouses, Trustees, Conservator of Minors).
- Valid Drivers License or State I.D. for all the parties signing.
- Buyer must bring a Homeowners Insurance Policy insuring for at least the amount of the mortgage or land contract along with a one year paid receipt (if required by Lender or Seller), which names the Lender as an additional insured party
- All monies transferred must be in the form of a Wire. (we regret that this must be required, however please understand that this is being done as a means to prevent any fraud in the transaction).
- Any original documents required for your specific transaction (EX: Certificate of Occupancy, Termite Inspection, City Certification, Power of Attorney, or Death Certificate).
- Completed Survey Report – If using an in-state lender, the Lender will usually obtain this for you. Otherwise, the parties will be responsible for obtaining it themselves. We strongly recommend that you consider obtaining a survey, even for Land Contract or Cash purchases.
HOW MUCH DOES ALL THIS COST?
THE FEE SCHEDULE
Package Preparation Fee:
A $100.00 fee is assessed to the Seller for processing the closing transaction. This is only if title company is handling both side of the transaction. If we are handling just the sellers then the cost is $350.00.
Mortgage Closing Fee:
A $350.00 closing fee is charged to the Buyer on all mortgage closings. Due to federal guidelines, this fee may be charged to the SELLER when the Purchasers are obtaining an FHA or VA loan, depending upon the agreement between the parties and the new lender.
Express Courier Service:
Whenever express courier service is necessary for overnight delivery, a $40.00 fee is assessed.
Title Insurance Rates:
Title Insurance premiums are customarily a Seller’s costs and vary by the amount of coverage (sale price). Please consult the premium calculator on this site for your particular transaction or feel free to call our office at (248) 552-7500 for a quote. Please have your prior title policy in hand to ensure that appropriate credits are given. Credits are based on the age and the amount of insurance coverage of the prior policy.
Note: Fees are subject to change without notice. For further assistance please call #1-248-552-7500