After you transfer all documents (property purchasing agreement with all amendments and schedules, and so on) to your lawyer, before closing date, there are many things to be completed. Even though there is almost nothing to do for the mortgage borrower, it’s beneficial to closely cooperate with your lawyer to avoid any problem to you if you know all procedures.
Your lawyer will contact your lender and the lender will send an “Instructions” letter to your lawyer. The instructions list all documents needed and guide for funds. The lawyer will follow the instructions, ask you to sign all docments that need to be signed and send all documents as a package to the lender. The lender will release the mortgage funds to your lawyer’s trust account before closing date after reviewing all. The mortgage funds your lawyer receives may not the exact amount of your mortgage amount, it may be deducted the appraisal fee, mortgage insurance premiums etc.
On the closing date, your lawyer will register all property and mortgage information in the municipal registry office; release money to the seller’s lawyer and get property keys for you. Most lawyer now use electronic registration system. Usually you can pick up the key in the afternoon or next day from your lawyer.
Your lawyer will prepare a statement for the transaction of property, mortgage and other fees. The lawyer will also prepare and send a report to the lender. The report includes proof that mortgage was registered and proof of title insurance or survey, and notices to state that no realty tax is outstanding and there are no judgement against the property. Then the mortgage procedure is finally closed.