What is CLOSING?

1. In Accounting, this is the moving of account balances at the end of an accounting period from subsidiary ledgers, containing nominal or temporary accounts, to an income summary account. Known also as closing the accounts or closing the books. 2. In Mortgage lending, this is the action and date when the proceeds of a mortgage loan are released to the borrower once the mortgage deed and loan documents are approved and delivered to the buyer. 3. In Real estate, this is the action and date when the sales proceed funds are released to its seller upon the property title changing hands is transferred to its buyer. 4. In Selling, this is the final action in a selling presentation where a salesperson requests a buyer to order or give a commitment to buy.

More On This Topic



Link to This Definition
Did you find this definition of CLOSING helpful? You can share it by copying the code below and adding it to your blog or web page.
Written and fact checked by The Law Dictionary