An appraisal is a professional estimate of a property’s market value. Lenders usually require one to make sure the loan amount matches the true value of the property.

The closing is the final step in a real estate transaction. It’s the day when documents are signed, funds are transferred, and ownership officially moves from seller to buyer.

Closing costs are the fees and expenses you pay to finalize a real estate deal. These may include title services, taxes, insurance, and lender fees, and are usually due at the time of closing.

A deed is the legal document that transfers property ownership from one person to another. It is recorded with the county to show the official change in ownership.

Escrow is a neutral third party that holds money and important documents during the transaction. This ensures both the buyer and seller are protected until all the agreed conditions are met.

A lender’s policy is a type of title insurance required by most banks or lenders. It protects the lender’s investment in the property but does not cover the homeowner.

A lien is a legal claim placed on a property until a debt is paid, such as unpaid taxes or loans. A property must be free of liens before it can be sold or refinanced.

A mortgage is a loan you take from a bank or lender to purchase property. The property itself acts as collateral, which means the lender can take it back if you don’t repay the loan.

A notary public is an official who verifies your identity and witnesses important document signings. Their role helps prevent fraud in real estate transactions.

An owner’s policy is a type of title insurance that protects you, the property owner, against future claims or disputes over your ownership. Unlike the lender’s policy, it protects your rights directly.

A title is the legal right of ownership to a property. Having a “clear title” means no one else has legal claims to it, so you can sell or use it without issues.

Title insurance protects you from unexpected problems with your property’s ownership history, such as unpaid debts, fraud, or disputes. It’s a one-time payment at closing and lasts as long as you own the home.

A title search is a review of public records to confirm legal ownership of a property. It also checks for liens, judgments, or other claims that could affect your ownership rights.