Key Takeaways
- New York uses attorneys for closings rather than title companies alone
- Title insurance protects against title defects and is typically required by lenders
- Recording priority is first in time, first in right in New York
- The deed must be signed, acknowledged (notarized), and delivered to transfer title
- TRID (TILA-RESPA Integrated Disclosure) rules apply to most residential closings
Last updated: January 2026
Title & Closing Procedures
New York has unique closing practices compared to other states.
NY Closing Practice
Attorney Role
| Function | Description |
|---|---|
| Contract prep | Attorney drafts contract |
| Title review | Attorney reviews search |
| Closing conduct | Attorney runs closing |
| Recording | Attorney or title co. handles |
Key Difference: In NY, attorneys play a central role unlike many states that use title companies primarily.
Title Insurance
Types
| Type | Protects |
|---|---|
| Owner's policy | Buyer/owner |
| Lender's policy | Mortgage lender |
| Premium | One-time at closing |
What It Covers
| Covered | Example |
|---|---|
| Forgery | Forged deed in chain |
| Errors | Recording mistakes |
| Undisclosed heirs | Claims from heirs |
| Fraud | Hidden liens |
| Defects | Title problems |
What It Does NOT Cover
| Not Covered | Note |
|---|---|
| Known defects | On title search |
| Government rights | Eminent domain |
| Future issues | After policy date |
| Zoning | Land use restrictions |
Recording System
Priority Rules
| Rule | Application |
|---|---|
| First in time | Earlier recording wins |
| Notice | Must check records |
| Constructive notice | Recording gives notice |
| Actual notice | Knowledge of claim |
Recording Requirements
| Requirement | Purpose |
|---|---|
| Signed deed | By grantor |
| Acknowledged | Notarized |
| Documentary stamps | Tax paid |
| Recording fee | County fee |
Deed Transfer
Requirements for Valid Transfer
| Step | Detail |
|---|---|
| Written deed | Statute of Frauds |
| Competent grantor | Legal capacity |
| Identifiable grantee | Named recipient |
| Adequate description | Property identified |
| Signed | By grantor |
| Acknowledged | Notarized |
| Delivered | To grantee |
| Accepted | By grantee |
TRID Disclosures
Loan Estimate
| When | Detail |
|---|---|
| Provided | Within 3 business days of application |
| Contents | Loan terms, costs |
| Wait period | None required |
Closing Disclosure
| When | Detail |
|---|---|
| Provided | 3 business days before closing |
| Contents | Final costs, terms |
| Changes | May delay closing |
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Test Your Knowledge
Under New York's recording system, which party has priority if two people claim the same property?
A
B
C
D
Test Your Knowledge
How many business days before closing must the Closing Disclosure be provided to the borrower?
A
B
C
D
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