You’ve identified the right multifamily property, lined up financing, and completed thorough due diligence. Now comes the final, high-stakes phase: closing escrow.
While the heavy analytical work is largely done, this stage demands sharp focus, precise coordination, and proactive oversight. Even minor oversights here can create headaches—or costly issues—long after you take ownership.
At Pikes Northwest, we’ve guided countless investors through closings in the Willamette Valley and beyond. The most successful buyers treat closing as an active process, not a passive formality.
Key Buyer Priorities During Closing
Your role shifts from evaluation to execution. Stay engaged on these critical areas:
- Confirm all due diligence contingencies are fully satisfied or waived.
- Verify loan documents align exactly with approved terms.
- Review the preliminary title report, easements, CC&Rs, liens, and legal description for accuracy.
- Coordinate timing between lender, escrow, and title company.
- Anticipate and resolve last-minute surprises that could delay funding.
Should You Use a Closing Checklist?
Absolutely—yes.
Title companies and lenders follow their own protocols, but no one protects your interests as fiercely as you do. A buyer-specific closing checklist is your safeguard against oversight.
Typical items include:
- Final escrow instructions
- Detailed review of the settlement statement (HUD-1 or ALTA)
- Confirmation of loan terms and conditions
- Proof of insurance binders
- Prepared entity formation/resolution documents
- Final walk-through or confirmation of property condition
Title Review and Title Insurance
Title is the legal bedrock of ownership. Carefully examine the preliminary title report for any exceptions, encumbrances, or discrepancies.
Title insurance is essential protection:
- Lender’s policy (required for financed deals) protects the bank.
- Owner’s policy (strongly recommended) shields your equity for as long as you own the property—one-time premium, lifelong coverage.
Financed vs. All-Cash Closings
Financed transactions add layers: loan document signing, final lender approvals, and synchronized funding wires. Precision is critical.
All-cash closings can move faster but shift full responsibility to the buyer for due diligence completeness and documentation accuracy.
Reviewing Closing Documents
Never sign blindly. Key documents to scrutinize:
- Grant deed or warranty deed
- Settlement statement
- Promissory note and deed of trust (if financed)
- Entity authorizations and resolutions
Errors recorded post-closing are expensive and time-consuming to fix.
Recording and Final Confirmation
The deal isn’t truly done until the deed is recorded with the county. This establishes public ownership and triggers fund disbursement. Always confirm recording, receive recorded copies, and verify escrow has officially closed.
A Quick Note on 1031 Exchanges
If this acquisition is a replacement property in a 1031 exchange, special rules apply—qualified intermediary involvement, strict timelines, and structured fund handling. We’ll dive deeper into 1031 strategies in an upcoming post.
Final Thoughts
Closing escrow is where thorough preparation meets disciplined execution. Investors who remain actively involved, use structured checklists, and understand each party’s role close smoother, stronger deals.
This concludes our 4-part series on acquiring multifamily properties. Whether you’re pursuing opportunities in Salem, Eugene, or across the Willamette Valley, the Pikes Northwest team is here to support every stage—from market analysis to closing and ongoing management.
Ready to explore your next multifamily investment? Contact us for a confidential consultation.
My name is Alyssa Flores. I was raised here in Salem, Oregon. I’ve been working in property management for the past 6 years, and am excited to be part of the Pikes Northwest team. In my spare time I enjoy being with my family and friends.