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So you’ve found a house you love, made an offer, won the bid, and are about to close on your home. Congratulations! But now, whether due to a scheduling conflict or because you are looking to minimize face-to-face contact because of the pandemic, you’re wondering, do you need to be at closing?

The good news is that it is not actually always necessary for either the buyer or the seller to be present during a real estate closing. As long as either or both sides prepare and make the proper arrangements beforehand, things can be done electronically and remotely. 

While there is no rule or reason that buyers and sellers must be in the same room for closing, often they prefer it to do it this way so that they can walk through all of the documents and have any questions answered. 

But increasingly, as purchasers are buying properties out of state during the health crisis, or looking to avoid in-person meetings, real estate attorneys and title agents are making it possible to handle all of the necessary paperwork and verify monetary transactions without being in the same place or even signing on the same day.

Sellers: Do you need to be at closing?

The seller doesn’t usually have to sign as much paperwork because they aren’t authenticating mortgage documents. Often, if the seller has moved out of state already, they could have their paperwork notarized and mailed back, or they could sign papers through an online portal.

There are a number of web portals and other digital services, like DocuSign, that help with remote closings. In these portals, an e-signature carries the same weight as one written on printed paper. The only caveat is that sellers still need some documents to be witness by a notary. But some states are also now allowing remote online notarization!

Prior to the coronavirus pandemic, 14 states had permanent laws allowing for remote online notarizations (RON), and as of May 12, 2020, the National Notary Association said 31 enacted emergency RON measures allowing even more sellers and buyers to achieve an entirely remote closing.

We expect these procedures may be increasingly available post-pandemic as well. 

Buyers: Do you need to be at closing?

Not event buyers have to be present at the closing as long as they make the proper arrangements beforehand. A buyer could always use a power of attorney as a stand-in when attending a closing was impossible, but now there are a few ways to complete all those documents remotely yourself, depending on your title company’s requirements.

Buyers may be allowed to visit a branch near them to complete their paperwork, even if it’s a day or two before the actual closing date. Or, they may be able to sign the paperwork through an online document service as previously mentioned. 

Some title companies are even offering courtesy remote closing, where an agent of the company comes to the buyer to present the documents.

Want a Remote Closing?

If you want to do a remote closing, you should speak with your Realtor and title company to find out the details firsthand. It is best to at least have someone in town that you trust — like a LIST WITH ELIZABETH® real estate agent — that can help you out if unexpected issues arise.

Keep in mind that the closing isn’t just about signing the final paperwork. Remote closers will need to rely on someone else for the final walk through, and if any potential issues are missed there, that could be a costly mistake.

Sometimes remote closings can add other additional costs to your transaction, too. Remote closings have, at times, been known to delay funding. And you will receive very little explanation of the documents you are signing, which could lead to minor or expensive mistakes. 

But a remote closing offers the chance to avoid costly travel expenses if you are moving from out of town. It may work best with hectic schedules, and it can be more efficient. It can also give you more time to read through all of the paperwork at your leisure before signing. 

While there are many reasons to still attend closings in-person, 2020 brought about several changes that made it easier for sellers and buyers to close on a home remotely. 

Selling or buying a home is now more convenient than ever! Contact LIST WITH ELIZABETH® if you’d like to start the process today.