When two or more properties are dependent on each other to close, thus concurrent closing is initiated.
Homes that rely on each other to close is a unique, but not rare, situation. A Concurrent Closing is when these two (or more) properties are dependent on each other to close. For example, the first property funds and records and the proceeds from that transaction are used to fund or partially fund the second transaction so it can then record. In some cases, recordings exist in which the second transaction is not dependent on funds from the first transaction. In this case, the two record back to back without any delay.
While you do not need to necessarily use the same title and escrow company on all transactions, it can make the process easier. Typically, the company will start by funding the new loan, recording the documents, and then will send the proceeds via wire or check to the escrow company.
If both transactions use the same title and escrow companies, then no money needs to move locations. However, if different companies are used, then those companies will need to communicate with each other and plan accordingly. Verification and checks will be made down the line to ensure that the money is transferred safely, securely, and correctly.
Do note that communication is essential to a successful transaction. At Fidelity National Title, we are here to help you succeed. By communicating your needs to your escrow and title companies, all parties can work together to ensure a successful close!
While not every homeowner is an expert in title insurance, we are. Let the title professionals at Fidelity National Title help to determine the most beneficial way of holding title to your most valuable asset so that you can protect it. Our team has the knowledge to make sure that you secure the correct title policy for your specific needs. Contact us today to learn more about the residential title services offered at FNT Orange County.