The escrow company insures that all terms and conditions of the seller's and buyer's negotiated agreement are performed prior to the sale being completed. This includes securing monies and records, signing required forms, and getting the release documents for any loans or liens that have been paid off with the transaction, assuring you have a clean title to your property before the purchase price is fully paid.
Escrow agents want to obtain the following legal documents:
Closing on the home happens when all of the procedures of the escrow are finished. At this time, all payments and dues for inspections, title insurance and real estate commissions are collected. You'll then get the title to the property and the title insurance gets dispersed as noted in the escrow instructions.
The escrow company gets a payment when the closing is complete. I'll keep you updated on the next steps.
Often, to pay recurring costs while there's a loan on the house, a Mortgage Escrow Account is created. Usually, the home buyer makes a payment at closing and also makes regular deposits through their monthly mortgage payment to fund the Escrow Account.
Now you know more about being in escrow. And, you can be a smarter home buyer and future homeowner.
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.