Whether it's your first home or your next property, I'll educate you through the process. Call me at 8288990797 and I'll give you more information.

Completing the Transaction

 RE/MAX Advantage Realty can walk you through closing - 8288990797
Let's talk about "escrow". A neutral, third party (known as the escrow holder or the escrow agent) is used to assure your home closes on time and the money exchanging part of closing goes smoothly. A place is said to be in escrow when in the closing process, payment is held by a third party on behalf of two parties when the exchange of money takes place. PayPal is a good way to picture an escrow company.

The escrow holder insures that all terms and conditions of the seller's and buyer's contract are reached prior to the sale being finalized. This includes securing monies and certificates, signing required forms, and getting the release documents for any loans or liens that were paid off with the transaction, assuring you have a clean title to your place before the negotiated price is fully paid.

These are the records that escrow agents usually compile:

  • Title insurance policies
  • Terms of sale and any seller-assisted financing
  • Requests for payment for various services to be paid out of escrow funds
  • Loan documents
  • Tax statements
  • Fire and other insurance policies

Closing on the house takes place when all of the procedures of the escrow are finished. All outstanding payments and fees are taken and paid off at this time (covering expenses such as title insurance, inspections, real estate commissions). The home's title is given to you and title insurance begins per the policies of your particular escrow agreement.

The escrow holder receives a payment at the completion of closing. I'll keep you updated on the next steps.

The Escrow Holder Will:

  • Assemble escrow instructions
  • Perform a title research
  • Comply with lender's requirements as written in the escrow agreement
  • Accept payments from the buyer
  • Prorate insurance, tax, interest and other payments according to guidelines
  • Record deeds and other paperwork as instructed
  • Obtain title insurance policy
  • Close escrow when all instructions of seller and buyer have been finished
  • Disburse payments and finish instructions

The Escrow Holder Won't:

  • Tell you what's best - the escrow agent must stay at a fair, third-party status
  • Offer opinions about future tax estimations
The Escrow Holder Will:
The Escrow Holder Won't:
  • Assemble escrow guidelines
  • Petition title inquiry
  • Comply with lender's requirements as written in the escrow agreement
  • Intake funds from the buyer
  • Prorate interest, insurance, tax and other payments according to guidelines
  • Record deeds and other paperwork as instructed
  • Request title insurance policy
  • Close escrow when all terms of agreement of seller and buyer have been met
  • Disburse payments and finalize instructions
  • Tell you what's best - the escrow holder must stay at a fair, third-party status
  • Give insight about the outcome of your taxes

Mortgage Escrow Account

A Mortgage Escrow Account is established to pay rolling expenses while there is a loan on the house. Generally, the Escrow Account is partially funded at closing and the home buyer makes on-going contributions through their monthly mortgage payment.

This is a easy to understand guide about the escrow process. Your particular methods might be slightly different based on your bank and your escrow company.

Got a Question?

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.

Your Information
Your Question