Landmark Title has been selected to conduct the real estate settlement of the above referenced property. This letter will inform you of some things which you should know in order for settlement to be as smooth and problem free as possible. A similar letter has also been sent to the purchaser of the above referenced property to better prepare the purchaser for settlement.
Settlement Date: Your real estate agent will contact you to arrange a mutually convenient day and time for settlement. If you have reason to believe that you will not be available at the time of settlement, please contact us immediately, as you may need to have a power of attorney prepared on your behalf. All powers of attorney must be approved by this office prior to settlement. We will need the notarized original for settlement.
Disbursement of Settlement Proceeds: Virginia law requires that certain settlement documents be recorded in the land records of the courthouse prior to the disbursement of the seller’s settlement proceeds. In most instances, the recordation of these documents and the disbursement of the settlement proceeds occur on the next business day following settlement. If you have any special requirements in this regard, please inform us immediately. According to the IRS, we must be provided with a TAX IDENTIFICATION NUMBER (TIN) or SOCIAL SECURITY NUMBER (SSN) for ALL SELLERS. If we are not provided with this information prior to settlement IT COULD RESULT IN A DELAY IN THE DISBURSEMENT OF SELLER’S PROCEEDS.
Photo Identification: Since many of the documents you will be signing at settlement need to be notarized, please bring to settlement a form of government issued picture identification such as a driver’s license or passport.
Foreign Sellers: Sellers of real property are required to report sales proceeds regardless of citizenry. Foreign sellers must possess or otherwise secure an Individual Taxpayer Identification Number (ITIN) prior to settlement to enable Landmark Title to properly report the sales transaction and to avoid a delay in disbursing sales proceeds. U.S. Department of Revenue Forms W-7 (Application for IRS Individual Taxpayer Identification Number), W-8 (Certificate of Foreign Status) and 8288 (U.S. Withholding Tax Returns for Dispositions by Foreign Persons of U.S. Real Property Interests) are available to you and should be considered prior to settlement.
Settlement Services: The settlement services which the settlement agent customarily performs for the seller include: obtaining information for payoff or assumption of the existing financing; obtaining dues information from the homeowner’s association or condominium associations; preparing releases to remove the existing liens from the land records; preparing the settlement statement; receiving and disbursing funds; preparing certificates of non-foreign status; preparing and filing Form R-5 with the Virginia Department of Taxation; and preparing and filing Form 1099-S with the Internal Revenue Service. A schedule of our fees is enclosed for your reference.
Legal Documents Etc.: You have the right to select and retain independent legal counsel to represent you throughout the settlement process and to prepare legal documents on your behalf; if you already have engaged an attorney for such representation, please contact this office as soon as possible to provide his or her contact information
Utilities: You need to contact the utility companies to arrange for the cutoff and transfer of billing for all utilities (please make sure cutoff is NOT prior to settlement).
Termite Certification: If you or your agent is ordering a termite inspection for the property, please advise us of the company’s name and the cost of the inspection, and request the company to send us the original certificate prior to settlement.
Payoff of Your Mortgage: If you have your current mortgage payment(s) automatically drafted from your bank account, you need to notify your mortgage lender to terminate the auto draft prior to settlement.
Miscellaneous: Please notify this office of any special prorations that need to be made between the purchaser(s), seller and/or real estate agents at settlement (i.e. oil heat, propane, rent credits, closing costs credits, home inspection/ repair credits). If you will be responsible for providing any home warranties or escrows for the purchaser’s benefit at settlement, please notify this office. If your property requires a well and/or septic inspection, please provide the appropriate reports to this office prior to settlement.
Landmark Title Services will provide all of your real estate transactions in Virginia, Maryland and DC metro area. Conveniently located within Virginia and Maryland our settlement agents can always be flexible in closing location and settlement time.