Which document certifies the identity of a party at closing and is used to verify authority for title transfer?

Which document certifies the identity of a party at closing and is used to verify authority for title transfer?

• A. Deed
• B. Title insurance
• C. Closing statement
• D. Affidavit of Identity

Answer: (D)

Identity verification at closing centers on confirming who is signing and that they have the authority to transfer the property. An Affidavit of Identity is a sworn, typically notarized statement in which the signer declares their identity and, if signing for a party like a corporation or trust, their authority to act for that entity. This document gives the closing team a formal, legal record that the person presenting the signature is legitimate and authorized to transfer title, helping prevent fraud and ensuring the deed can be recorded. The other documents serve different purposes: a deed actually conveys ownership of the property; title insurance protects against defects in the title; a closing statement lays out the financial details of the transaction. None of these verify identity or authority to sign for title transfer, which is why the affidavit of identity is the best choice.

Identity verification at closing centers on confirming who is signing and that they have the authority to transfer the property. An Affidavit of Identity is a sworn, typically notarized statement in which the signer declares their identity and, if signing for a party like a corporation or trust, their authority to act for that entity. This document gives the closing team a formal, legal record that the person presenting the signature is legitimate and authorized to transfer title, helping prevent fraud and ensuring the deed can be recorded.

The other documents serve different purposes: a deed actually conveys ownership of the property; title insurance protects against defects in the title; a closing statement lays out the financial details of the transaction. None of these verify identity or authority to sign for title transfer, which is why the affidavit of identity is the best choice.