Carroll County Abstract & Title Co

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Carroll County Title
Carroll County Title is serving ALL of Carroll County, Arkansas. We give you excellent customer support for your Title Insurance and Closing Services.
Contact us with your questions about real estate closings or talk to your Realtor about having your closing in Carroll County at Carroll County Title.

Is it possible to sell a home even while having second mortgage?
Of course you can sell it. Providing your sales price is enough to pay off the loans and the closing costs, you should not have any problems at all. However, if you owe more than the property is worth, you are going to have to come up with the cash to pay off the loans from your own pocket.

What is a "closing"?
The mortgage loan closing (or settlement) is the formal meeting at which you take official ownership of the property. Actual possession of the property varies according to local practice and the terms of the contract. In some areas, possession is given to the buyer on the day of closing. In other areas, this occurs a day or two after. At closing, the buyer requires that the seller prove the title (ownership) is complete and free of anyone else's claims. Technically, two separate closings occur at this time: the closing of your loan and the closing of the sale. The closing meeting is typically attended by the buyer and seller (and their attorneys if they have them), both real estate sales professionals, a representative of the lender, and the closing agent. The meeting takes about one half-hour to one hour and is usually held at the closing agent's office. In addition to a number of other activities, you'll be required at that time to review and sign various documents relating to the mortgage loan and pay closing costs.

What is Title Insurance? Why do I need it?
There are two types of title insurance: one to protect the lenders interest and another to protect your interest. Virtually every lender requires title insurance in connection with first mortgage loans and will require a policy to cover the full amount of the loan. The expense is borne by you and the one time premium for title insurance is part of your closing costs. You, as the owner, can also receive coverage based upon your interest in the property. This is also a one-time premium paid at closing.

What is a HUD Settlement Statement (HUD-1)?
This is a summary of the financial portion of the real estate transaction. The HUD will list the purchase price, loan amount, closing costs for both buyer and seller and show all pro-rations and sums to be disbursed by the title company to all parties.

What is pro-ration of property taxes?
This is the process of charging either the buyer or seller for their share of real estate taxes owed on the property for their respective time of ownership. Taxes are said to be "pro-rated" back or forward to the due date of the property taxes.

What is pre-paid interest?
This is interest due from the date of a loan closing to the first day of the following month. Most loans require payments to be due on the first day of the month. Each monthly payment reflects the principle and interest due on the loan for the previous month. A loan closing on the 20th day of the month will require interest adjustment through the 1st day of the following month. The first payment will then be due on the 1st day of the month following. Interest adjustment is considered a settlement charge and will be disclosed on the HUD.

- Is it possible to sell a home even while having a second mortgage?
- What is a "closing"?