You may not get the keys on closing day... What you should know

by Julie Endsley

Not everyone will get the keys to their new property on closing day.

Access and occupancy is a legal matter, so what do you need to know?

According to Real Estate Law here in the state of Florida, occupancy is granted at closing. But when is "Closing"? Is it when you sign your paperwork? No.

Closing occurs when ALL of the following have taken place:

- The seller has signed their closing documents

- The buyer has signed their closing documents

- The Buyer's money for the purchase has been RECEIVED by the Title Company or Attorney handling the sale. Notice it does not say the buyer has wired their funds. There can be a delay between when the wire is initiated by the buyer's financial institution and when it arrives by wire into the Title Company's account.

- The Lender's money (if applicable) has been RECEIVED by the Title Company. Usually the lender will not release those funds until a hard copy of the buyer's paperwork is present at the Title company. If the buyer signed remotely and mailed their paperwork to the title company, it may take a couple of business days to arrive.

Once the title company has RECEIVED all documents and all funds have ARRIVED IN the title company's account, the sale is considered "CLOSED" and the buyers have a legal right to enter the property.

So what does that mean for buyers?

If you are getting a loan, and you want to access the property on closing day, you'll need to:

- Wire your portion of the funds the day before closing.

- Sign your paperwork in person early in the day on closing day.

- Call your lender immediately after signing to inform them signing is complete and get an estimate of when the funds will be release. The closing agent will do this also, but it can't hurt to contact them yourself to help things go smoothly.

If you sign remotely, you will not have access to the property until the next business day after closing at the earliest. Lenders will not allow buyers to sign their paperwork before closing day.

If you're paying with cash and you want to access the property on closing day:

- Wire your funds 1 business day before closing.

- Sign your paperwork in person on closing day, or remotely a couple of business days before.

https://youtube.com/shorts/pulOUZjBxPI

Watch it on Youtube

For expert advice on Florida Real Estate, contact

Julie Endsley Endsley Team | Gulf Realty 30A 850.502.7210