Whether you are buying or selling a home, closing is the time everything you have worked for comes to completion. For many people it is an important day they don’t want to miss… but buyer and seller sitting at the closing table together can be difficult for many different reasons. In fact, in some states buyers and sellers never come together. In Minnesota closing is usually an exciting time when buyers get the keys to their new home and sellers move on to the next place in their lives.
Is it a requirement to attend closing? While everyone must sign closing documents, it doesn’t mean everyone must gather at the closing table at the same time… although our closer tells me that is easiest.
It is quite common for sellers to pre-sign for any number of reasons… including work schedules, travel plans, strong emotions or they have already relocated to another state or country. Typically they must at least sign the deed and give someone Power of Attorney to sign final documents at the actual closing table.
It isn’t quite as easy for buyers, because if they are financing they must meet the requirements of their lender. Typically they must sign documents on the official closing date. If there are multiple buyers, one buyer could hold Power of Attorney for the other buyers so only one needs to attend closing… however, this is only if their lender approves it. If buyers are in another part of the country, they might be able to do a remote close with another closer where they are located… again with the approval of their lender. If buyers are paying cash they do not need to be present.
Remote electronic closing is becoming closer to reality, and it is possible now. However, with all the electronic fraud taking place it makes me nervous. I talked about it with our closer and she also said she was hesitant to use it because of potential fraud. It also isn’t as easy as it sounds… you may have to sign electronically with a notary present or any number of other requirements.
Bottom line is, if you are having trouble getting to the closing table there may be other options for you. Talk to your Realtor, lender and closer to see what alternatives are available.
