FAQs

Q. Can my buyer write a personal check for closing costs, or does he or she need to bring certified funds?

A. Your buyer may write a personal check for his or her closing costs as long as the costs do not exceed $10,000.00. If you client has not received a final settlement cost number from our office, he or she should be prepared to pay the amount of closing costs in the Good Faith Estimate received from the mortgage lender. If this number is close to, or exceeds $10,000.00, the buyer should bring a certified or cashier's check for that amount along with his or her personal check book. In the event that the certified check is too high, the buyer will receive a refund from our office at closing.

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Q. What should I do if my buyer is selling a house out of state and needs to use the funds from that sale to purchase a home in Delaware?

A. If your buyer will need less than $10,000.00 to come to settlement, he or she should simply bring their personal check book. If your buyer will need $10,000.00 or more of those proceeds to come to settlement, we would recommend having the funds wired into our escrow account. Your paralegal can provide written wire transfer instructions to you, or directly to the person performing your buyer's settlement, in advance. Of course, funds that are wired to our account and are not needed for your buyer's settlement will be refunded from our office at closing.

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Q. What should I do if my seller is purchasing a home out of state and needs the funds from his or her sale in Delaware to complete that purchase?

A. Since rules regarding the availability of funds can differ from state to state and even among financial institutions, we recommend having the funds wired to the attorney or title company that is performing your client's settlement. You should also remember that various new laws relating to homeland security and counter-terrorism efforts can affect this process. You should obtain written wire transfer instructions from the transferee that include the account number, name corresponding to the account, street address corresponding to the account (P.O. Boxes are NOT acceptable), the financial institution's ABA number, name, street address, phone number and any references required by the institution in order for the funds to be credited to the appropriate account. For most sellers, these funds will be the most important portion of their personal financial "nest egg", so precautions should be taken to ensure that all information is double checked and correct before it is provided to us for use. For your convenience and to missed information and embarrassing mistakes, we can provide an Outgoing Wire Request Form that details all required information. Simply fill in the blanks and provide a copy to your paralegal at or before settlement.

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Q. What should I do if I forget or am unable to bring the escrow deposit check to settlement?

A. Please contact your paralegal immediately. We will be happy to make arrangements with you to keep the settlement on schedule, such as wiring the deposit into our account or deducting the deposit funds from the commission check received at settlement.

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Q. What should I do if my client cannot attend settlement?

A. We feel that attendance at settlement is an important opportunity for both buyers and sellers to exchange valuable information regarding what is likely to be the largest investment either of them has ever made. However, we recognize that personal circumstances often make it impossible for all parties to attend settlement. If your client is unable to attend settlement in person, you should notify us as soon as possible, so that we can make arrangements to have all documents properly executed. Acceptable arrangements include delivering documents to the parties prior to settlement for signing or preparing a power of attorney that will permit another person to attend settlement and sign all necessary documents for your client. You should remember that many mortgage lenders will require a power of attorney to be approved by them before it can be used by a buyer and that this can take time and can delay settlement if it is not handled in advance. We will be pleased to work with your client to ensure that all necessary arrangements are in place so that settlement can occur on schedule.

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Q. What should I do if the seller is a builder and insists that settlement take place at its office?

A. Please contact your paralegal as soon as possible and inform them of this requirement. We will work with the seller to ensure that all of their needs are met, as well as the needs of our client, the buyer.

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Q. What should I do if I become aware that my sellers are divorcing?

A. Please contact your paralegal as soon as possible and inform them of this circumstance. We will work with the sellers and their attorneys to ensure that all requirements are met and that settlement is not delayed.

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