The escrow company makes sure that the terms and conditions of the agreement between the seller and buyer are reached in preparation of the sale being finalized.
Escrow holders want to acquire the following pieces of paperwork:
Closing on the house takes place when all of the procedures of the escrow are finished. At this time, all payments and fees for inspections, title insurance and real estate commissions are taken. Title to the property is then transferred to you as new homeowner and related title insurance is issued as noted in the escrow policy.
The escrow company receives a payment when the closing is complete. I'll keep you informed on the procedure.
Often, to pay recurring costs while there's a loan on the house, a Mortgage Escrow Account is created. Though most home buyers make payments via their monthly mortgage payment, Escrow Accounts are deposited into at closing as well.
Now you know more about being in escrow. And, you can be a more informed home buyer and future homeowner.
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