What’s Happening Between Contract and Closing

The Work Begins on Your File

Once your contract is signed, you won’t have a long to-do list — but that’s because you’re being guided every step of the way. While most of the heavy lifting happens behind the scenes, the few things you are asked to do are both timely and important. In reality, the period between contract and closing is one of the busiest stretches of the entire transaction. Several processes kick off at once, and while much of the activity happens behind the scenes, understanding what's going on can help you feel more connected to the process.

Shortly after the contract is executed, your title company opens a file for your transaction. If the purchase is financed, the lender also submits a title order with details about the loan. From there, several things begin happening simultaneously: the title company launches a title search, the buyer's inspection period opens, and if the transaction is financed, the lending and appraisal processes get underway.

If you are closing with Bluegrass Land Title, you should expect to hear from your title company through Qualia, a secure online portal. This is where you'll be asked to provide information needed to prepare your file for closing, including contact information, personal details, and other documentation that may need to be reviewed. Responding to these requests promptly is one of the most helpful things you can do. Delays in providing information early on can create a ripple effect that can push back the entire timeline.

The good news is that all of these processes are designed to move forward together. Your real estate agent, lender, and title company are all working toward the same goal: getting you to the closing table on time and with everything in order.

Title Search and Clearance

One of the first things your title company does after receiving the contract is conduct a title search. This is a detailed review of public records, typically covering 30 years of the property's history, to establish a clear chain of ownership and uncover any issues that could affect the transfer of title. The title search looks for things like liens, judgments, unpaid taxes, easements, and any complications from past transactions involving estates or divorces.

Once the search is complete, the title company issues a document called a title commitment. This outlines the terms and conditions under which title insurance can be provided for the property. It also identifies any requirements that need to be met before closing and any exceptions to coverage. 

You'll receive this document through Qualia, and it's worth taking the time to review it. If anything looks unfamiliar or raises a question, your title company and your real estate agent are both good resources. The title commitment can look intimidating at first glance, but many of the items you'll see, like standard easements and restrictions, are routine and appear on nearly every transaction.

In some cases, the title search does uncover issues that need to be resolved before closing. This is called title clearance, and it can involve obtaining mortgage payoffs, resolving old liens, or working through complications tied to a previous estate or divorce. The escrow team handles this work behind the scenes, and in most transactions, these issues are resolved without any involvement from the buyer or seller and without delaying the closing. 

Occasionally, clearing an issue requires coordination with third parties such as payoff lenders or government agencies, and their response times can vary. If something does come up that affects your timeline, your title company will let you know.

Throughout this period, the title company is also coordinating with the lender to share the title commitment and align on requirements for closing.

Inspections, Financing, and Appraisals

While the title work is underway, there are a few other processes moving forward that buyers should be aware of. Your inspection, appraisal, and financing are all progressing during this same period. These are primarily managed by your real estate agent and your lender, but they all need to be completed before closing can be scheduled.

The Inspection Period

The inspection period gives you the opportunity to have the property evaluated by a professional home inspector. The inspector will assess the condition of the home and identify any issues, from minor maintenance items to more significant concerns. If the inspection reveals something that needs to be addressed, your real estate agent will help you navigate any negotiations around repairs or adjustments to the contract.

Financing

If the purchase is financed, the lending process moves into a more detailed phase after the contract is signed. While most buyers have already been preapproved before making an offer, underwriting goes deeper. During this stage, the lender verifies income, assets, employment, and other financial details to give final approval on the loan. You may be asked to provide additional documentation during this period, so staying in close contact with your lender helps keep things moving. If you have specific questions about your loan status, timeline, or what's needed from you, your lender is the best person to ask.

Appraisal

The lender will also order an appraisal during this period. An appraisal is an independent assessment of the property's market value, and the lender requires it to confirm that the home's value supports the loan amount. This is arranged and managed entirely by the lender, not the title company, which is a common point of confusion. There's nothing the buyer needs to do during the appraisal process, but it's helpful to know it's happening and that it's a standard part of any financed transaction. For cash purchases, an appraisal isn't required, though some buyers choose to get one on their own for added confidence in the purchase price. 

Staying Connected with Qualia

At Bluegrass Land Title, Qualia is your home base for communication and updates throughout the transaction. The portal's progress tracker lets you check the status of your file at any time, and you can message the title company directly through the portal's secure messaging feature. This is a better option than email for sharing sensitive information, and you can trust that any documents you submit through Qualia are protected with industry-leading security measures.

Responding to requests through the portal promptly makes a real difference. When the title team reaches out for information or documentation, a quick response helps keep your file moving forward on schedule. And if questions come up at any point during the process, don't hesitate to reach out. Your escrow officer is your primary point of contact and can provide updates or connect you with the right person.

It's also worth noting that if anything about your contract changes during this period, those updates need to make it to the title company. Whether it's a change in the purchase price, an adjustment to the earnest money deposit, a repair agreement from the inspection, or any other addendum, your real estate agent is responsible for sharing those changes with the title team. On your end, just make sure your agent knows about any developments so nothing falls through the cracks.

Preparing for Closing Day

As closing day approaches, the final pieces come together. About a week before closing, you'll receive your ALTA settlement statement. This document provides a full breakdown of the financials for your transaction: every fee, credit, proration, and disbursement involved. For buyers, it shows your cash to close, the total amount you'll need to bring to the closing table. For sellers, it outlines the proceeds you'll receive after payoffs and fees.

Take the time to review the ALTA carefully. This is your last opportunity to make sure everything that's been negotiated throughout the transaction is accurately reflected before you sit down at the closing table. Your real estate agent can walk you through the statement, and if anything looks incorrect or raises a question, contact your title company right away. Catching a discrepancy before closing is much simpler than resolving one after the fact.

Once you've reviewed the numbers, buyers should start thinking about how they'll bring their funds to closing. Cash to close must be in the form of certified funds (such as a cashier's check) or a wire transfer. If you plan to wire your funds, contact the title company in advance for wiring instructions and communicate with your financial institution early. Wires can take time to process, and initiating the transfer well ahead of your closing appointment helps avoid unnecessary stress on closing day.

On the seller side, one detail that often catches people off guard is that if you're married, your spouse is required to attend closing, even if only one spouse is on the title. If your spouse is unable to attend in person, there are options. A Power of Attorney can be arranged ahead of time, or the signing can be completed through remote online notarization. The earlier you communicate a potential scheduling conflict to your title company, the more time there is to put a solution in place.

Closing traditionally takes place in person with both parties present, but alternative arrangements like split closings or remote electronic closings are available when scheduling or travel makes an in-person closing difficult.

Tips for Buyers and Sellers Preparing for Closing

A lot happens between contract and closing, and most of it is designed to work smoothly without requiring much from you as a buyer or seller. While the details vary from transaction to transaction, the following tips apply to all buyers and sellers:

1. Stay responsive. When your title company, lender, or agent reaches out for information or documents, a timely response helps keep your closing on schedule. Delays in communication are one of the most common reasons closings get pushed back, and they're also one of the most preventable.
2. Review what you receive. You'll receive several documents during this process, including the title commitment and the ALTA settlement statement. Take the time to look them over and ask questions if something doesn't look right. Your agent and your title company are both available to walk you through anything that's unclear, and reviewing these documents early gives you the best opportunity to catch any discrepancies before closing.
3. Communicate changes early. If anything about your transaction changes, whether it's an addendum to the contract, a shift in how the property will be titled, or a scheduling conflict for closing day, the sooner your title company knows, the easier it is to adjust. This applies to life changes, too. Things like a new job, a large purchase, or a change in marital status can all affect your transaction. Make sure to communicate any changes to your real estate agent or title company as soon as possible. 
4. Ask questions. There are no bad questions during this process. Your escrow officer is your primary point of contact at the title company, and they'd much rather hear from you early than find out about a concern at the closing table. You can reach them anytime through the secure messaging feature in your Qualia portal.

At Bluegrass Land Title, we understand that buying or selling a home is one of the biggest financial decisions you'll make. Our team is involved from the moment the contract is signed through closing day and beyond, working behind the scenes to search and clear your title, coordinate with your lender, prepare your closing documents, and make sure every detail is accounted for. 

Throughout the process, your escrow officer serves as your dedicated point of contact, keeping you informed and making sure nothing falls through the cracks. Whether you're a first-time buyer or have been through the process before, we're here to answer your questions and help you get to closing day with confidence. You can reach us anytime through your Qualia portal, or contact your local BLT office directly.