Found a private lender, but have some questions about timing

[Coley Benson]

I found someone that wants to lend me money, but he is a first time lender and I am a first time private money borrower. We have agreed on the terms of the loan and everyone is happy.  I have an attorney helping with the promissory note and mortgage recording. I understand the basics of that process. Where I have questions is the timing of disbursement. 

I would like to use the private money to close which means it needs to be in my account and cleared before closing. The mortgage, which protects the private lender, cant be filed until after closing when I own the property. How is my private lender protected from when he gives me the check to the time the mortgage is filed? Do I have to get the title company involved to hold it in escrow?

Thanks for any advice! 

[Account Closed]

Typically, the lender will send the initial funding directly to the title company on the date of closing.  The title company then makes sure everything is signed and, where applicable, recorded.  Then the funds are disbursed to the seller along with any funds you are providing.