Real Estate Closing. Closing-or settlement or escrow-is essentially a meeting where the closing agent (the party who conducts settlement) takes in money from the buyers, pays out money to the owner and makes sure that the purchaser's title is properly recorded in local records along with any mortgage liens.n this case, the closing agent will compensate you for the prepayment at closing by having the buyer pay you additional money. It could also work in reverse. If you are behind on property taxes, the closing agent will reduce the money due to you at settlement by the amount of the unpaid taxes.