The escrow company makes sure that all terms and conditions of the seller's and buyer's agreement are performed prior to the sale being finished. This includes getting funds and certificates, finishing required forms, and obtaining the release documents for any loans or liens that have been paid off with the transaction, assuring you have a clean title to your house before the purchase price is fully paid.
The pieces of paperwork the escrow holder may obtain include:
Upon finishing of all portions of the escrow, closing can take place. All expenses like title insurance, inspections and real estate commissions are paid. Title to the property is then transferred to you as buyer and correct title insurance is issued as outlined in the escrow policy.
The escrow holder receives a payment when the closing is complete. As your REALTOR, I'll inform you of the acceptable form of payment.
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 how to close on your future home. And, you can be a better informed home buyer and future homeowner.
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