The escrow company makes sure that all terms and conditions of the seller's and buyer's agreement are completed prior to the sale being completed. This includes getting monies and records, filling out required forms, and getting the release documents for any loans or liens that were paid off with the transaction, assuring you have a free title to your property before the final price is fully paid.
Escrow agents want to acquire the following pieces of paperwork:
Upon finishing of all instructions of the escrow, closing can take place. All expenses like title insurance, inspections and real estate commissions are paid. The home's title goes to you and title insurance begins per the steps of your individual escrow process.
At the close of escrow, fees are paid in an acceptable form to the escrow. You'll know when it's time to submit the form of payment.
Often, to pay recurring costs while there's a loan on the house, a Mortgage Escrow Account is created. Escrow Accounts are contributed to monthly by the home buyer (who is now the homeowner), but there is also a lump sum that goes into the account at closing.
Once you have the basics of the escrow process down, you can be a confident buyer.
Do you have a question? We can help. Simply fill out the form below and we'll contact you with the answer, with no obligation to you. We guarantee your privacy.