BIC TIP #1323: Settlement Is Not Closing
Everyone gathers at the table, the paperwork gets signed, and the buyers are ready for their keys. Stephen Long, your Notorious BIC, reminds agents that signing day and closing day are not the same thing.
Settlement Comes First
- Settlement is when everyone comes to the table and signs the paperwork
- Funds may be in motion, but the transaction is not finished
- Signatures alone do not transfer ownership
Closing Happens at Recording
We do not have an official closing until the deed is recorded. Once the deed is on record, keys can be handed over and funds can be disbursed. Not before. Handing over keys early can put your buyer in a home they do not yet own and put your seller, and you, at risk if something goes wrong before recording.
The Practical Takeaway
Set expectations with buyers early so the wait for recording is not a surprise. Keep the keys until the closing attorney confirms the deed is on record. Wait for the recording and you will be great.
This BIC Tip is general real estate education for licensees and consumers, not legal, tax, or financial advice. Rules and forms change, so verify current NCREC rules, MLS rules, and standard forms, and consult a North Carolina attorney or qualified professional about your specific situation. See Disclaimers & Disclosures.