The escrow company is careful to assure that all terms and conditions of the seller's and buyer's contract are performed prior to the sale being finalized. This includes receiving funds and documents, filling out required forms, and obtaining the release documents for any loans or liens that were paid off with the transaction, assuring you have a clear title to your place before the agreed upon price is fully paid.
The certificates the escrow holder may secure include:
Closing on the house takes place when all of the procedures of the escrow are done. All expenses like title insurance, inspections and real estate commissions are paid. Title to the property is then transferred to you as new homeowner and appropriate title insurance is issued as outlined in the escrow policy.
When closing is finished, you'll make a payment to the escrow holder. I'll keep you up-to-date on the next steps.
Often, to pay recurring costs while there's a loan on the house, a Mortgage Escrow Account is created. Generally, the Escrow Account is partially funded at closing and the home buyer makes on-going contributions through their monthly mortgage payment.
Now you know more about being in escrow. And, you can be a more confident home buyer and future homeowner.
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