Title Companies are what I consider unsung players in this whole transaction. Title Companies are the ones that tie all the loose ends in place. They check the title work to make sure there is a clean title for the buyer (liens against the property, encroachments, etc.) so that everything will go through clearly.
Title Companies work with the buyer’s mortgage company to transfer the money from the loan to the seller’s mortgage company for their pay off. They provide a HUD or settlement statement to the buyer and the seller so everyone understands who pays for what services and fees.
Also, Title Companies are the places where the closings are handled. However if there is any reason that you cannot physically make the closing, they will send the documents early to sign.
Remember, if you just sign documents without the money being transferred from the buyer’s bank to the seller’s bank, this is called a signing and not a closing. Everything closes when the money is transferred, not any sooner and not any later.
Even though Title Companies are silent partners in this whole process, they tie everything neatly in a nice package and complete the deal.