Who Chooses The Closing Attorneys When Closing A Home?
We often get the question who or how did our particular closing attorney get selected? The answer varies depending on the type of transaction. The bottom line is the client always has the right to choose a closing attorney if they so choose however it is typically to your advantage to allow either the agents or your lender to choose.
Here are some examples of different types of closings:
1. PURCHASE with NO seller paid costs:
In the event the seller is not paying any of your closing costs typically the agent(s) will select the closing attorneys. They do this as they have a well-established working relationship with the attorney and know they will get the job done. It’s a trust issue AND they know the fees will be reasonable. Since the relationship is typically long standing the attorney will work hard to make sure all is done in a timely fashion so as to maintain the relationship.
2. PURCHASE with seller paying closing costs:
In the event you’ve asked your seller to pay some or all of your closing costs it is typical that the seller would then choose the closing attorney. In this example the sellers real estate agent is who would choose the attorney not the seller themselves. Reason for this is same as #1 above. Relationship, expectations can be met, and costs are a known quantity so no surprises.
3. REFINANCE with a closing attorney:
Typically the lender will choose the closing attorney (with the clients permission of course). As a lender we typically reach out to excellent closing attorneys and negotiate a lower rate. The closing attorneys want the business and the lower rate means less costs for you the buyer. These savings can be as much as $400 per transaction.
As a consumer you have the right to choose your closing attorney. If you have a long standing relationship with an attorney just let your agent or lender know. If not we always suggest allowing us as your agent or lender give you some suggestions as we will typically know who does a great job.
To speak with a great Mortgage Company that we have great success with contact:
Max A Kallos
Recognized in ‘Atlanta’ Magazine as a Five Star Mortgage Professional