If you’re buying or selling a loft or condo in DTLA, here are a few common closing terms you need to know.
Common Closing Terms You Need to Know
If you need to know something that’s not listed here, call us and ask – we’ll be happy to explain.
Cash to Close
Cash to close is the amount of money you need on closing day before you sign the paperwork that makes the home yours.
CD stands for closing disclosure. It’s a document that buyers must receive before closing, and it summarizes the loan with a complete breakdown of the costs.
COE is short for close of escrow. It means the date that you’ll officially exchange home ownership with the other party.
Contingencies are justifications buyers can use to break free from the real estate transaction once it’s already in motion. Common contingencies include those related to financing and home inspections.
Escrow is a place to hold important funds and documents. It’s where the earnest money deposit stays until closing, too.
Read What is Escrow, and How Does It Work? for more information.
EMD is short for earnest money deposit. That’s the money you put in escrow to show the seller you’re serious about buying his or her home.
Title insurance is protection that you have to buy against competing claims for the home. It protects you from someone coming along in the future and saying it doesn’t belong to you – it belongs to them.
Are You Buying a Loft or Condo in DTLA?
Call us at 213-254-7626 or get in touch with us online to start exploring your options when you want to buy a loft or condo in downtown Los Angeles.
While you’re here, check out our:
- DTLA Arts District lofts for sale
- Historic Core lofts for sale
- DTLA Little Tokyo lofts for sale
- Bunker Hill lofts for sale
- City West lofts for sale
- South Park lofts for sale
- Fashion District lofts for sale
- Financial District lofts for sale