Closing

In real estate transactions, closing is the formal process by which all parties finalize the sale or transfer of property and complete their contractual obligations. During closing, required documents (such as the deed, loan instruments, and settlement statements) are reviewed, signed, and recorded, and ownership of the property is legally transferred from seller to buyer. Funds are collected and distributed, including the purchase price, loan proceeds, commissions, taxes, and other closing costs. Once the closing process is complete and all conditions are satisfied, the transaction is considered legally binding and ownership changes hands.