It is customary and prudent for a buyer and seller to have a third, disinterested party to assist them in carrying out the terms of their agreement. Your escrow is created shortly after you execute the contract to purchase your home. The escrow becomes the depository for all monies, instructions and documents. The Escrow Officer has the responsibility of seeing that all terms of the escrow are carried out.
The escrow holds all monies, instructions and documents for the purchase of your home, including your down payment funds and your lender’s funds and documents for the new loan. The escrow officer takes instructions based on the terms of your purchase agreement and your lender’s requirements. The escrow officer can hold inspection reports and bills for work performed as required by your purchase agreement. Other elements of the escrow include hazard insurance, title insurance and the grant deed from the seller to you. Escrow cannot be completed until the instructions (requirements) have been satisfied, and all parties have signed escrow documents.
The escrow holder’s duties include:
Serve as the neutral agent and the liaison between all parties involved.
Prepare the escrow instructions.
Request a Preliminary Title Search to determine the status of title to the property.
Comply with the lender’s requirements as specified on its instructions to escrow.
Receive and handle purchase funds from the buyer.
Prepare or secure the deed and documents related to the escrow.
Prorate taxes, interest, insurance and rents.
Secure releases of all contingencies or other conditions imposed on the escrow.
Record the deed and any other documents.
Request title insurance policy.
Close the escrow pursuant to instructions supplied by the seller, buyer and lender, if any.
Disburse funds as authorized by the instructions, including charges for title insurance, recording fees, real estate commissions and loan payoffs.
Prepare final statements for all parties involved that account for the disposition of all funds held in the escrow account.
Escrow instructions define all the conditions that must occur before the transaction can be finalized. Your escrow instructions specify, in a debit and credit format, the disposition of your purchase funds. They also provide for title protection for your home.
What information will I have to provide?
You may be asked to complete a statement of identity. Because many people have the same name, the statement of identity is used to identify the specific person in the transaction through such information as date of birth, social security number, etc. This information is kept confidential.
The length of an escrow is determined by the terms of the purchase agreement and can range from a few days to several months. On average, it takes 30 to 45 days.
Your role during the escrow process should be an active one. Don’t wait for the seller to volunteer information – stay on top of it yourself and take reasonable care, along with me, your agent, to protect yourself.
Information Deemed Reliable But Not Guaranteed
Some real estate firms do not participate in IDX and their listings do not appear on this website. Some properties listed with participating firms do not appear on this website at the request of the seller.
The information provided by this website is for the personal, non-commercial use of consumers and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing.
Some properties which appear for sale on this website may no longer be available because they are under contract, have Closed or are no longer being offered for sale
This content last updated on Sunday, July 5, 2020 3:30 PM from KAAR.
Some properties which appear for sale on this web site may subsequently have sold or may no longer be available.
Each Office Independently Owned And Operated. The information provided herein is deemed accurate, but subject to errors, omissions, price changes, prior sale or withdrawal. United Real Estate does not guarantee or is anyway responsible for the accuracy or completeness of information, and provides said information without warranties of any kind. Please verify all facts with the affiliate.
Copyright© United Real Estate
If you are using a screen reader, or having trouble reading this website, please call our Customer Support for help at 888-960-0606 .
Leave a message for Laura