A transaction is considered "closed" once the deeds have been recorded. Then you own the home. Typically the seller has moved out by this point and you are able to take possession on the day escrow closes. However, it is not always possible for you to occupy it immediately. This can happen for several reasons, but the most common is that the seller may be purchasing a home, too. When transfer of possession actually occurs should be clearly laid out in your offer to prevent confusion later.