Balancing
The final pre-closing step where the lender, title company, and settlement agent confirm every dollar in the transaction adds up exactly.
Before the closing disclosure can be marked final, every party touching the file has to reconcile their numbers against the Closing Disclosure. The loan amount, the cash to close, every credit, every fee, every prorated item, all of it has to tie out across the lender's system and the title company's ledger.
Balancing usually happens in the last day or two before closing. If there's any discrepancy, a wrong tax proration, a missed lender credit, an updated payoff figure on the seller's existing loan, it gets resolved at this stage so signing day is a non-event.
When balancing fails late, closings get rescheduled. That's why experienced loan officers and processors push to get the file balanced 48–72 hours before the scheduled closing rather than the morning of.
Related terms
Other terms you'll see alongside Balancing
The final step of a real estate purchase or refinance where loan documents are signed and ownership or lien position transfers.
The five-page final-numbers document a lender must deliver to the borrower at least three business days before closing.
The total amount of money the borrower must bring to the closing table in certified funds.
The fees paid to the title company or attorney handling the closing, including title services and recording.
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