Understanding What Escrow Does for You
Escrow Serves Your Home Buying Needs:
When purchasing or refinancing a home one needs to understand the closing process. Knowing what to expect brings peace of mind. Basically, escrow acts as a middle man between all parties to a transaction. They may sure that all actions needed by the title company, lenders and themselves are completed prior to the close of escrow. This may include gathering proof that repairs where completed, money was transferred into a trust account and a whole list of other action items. Escrow companies act as vital representatives to insure a real estate transaction closes on time and under legal conditions per the escrow instructions. They often require the following actions while processing the escrow transaction:
1. Sign Legal Documents: They make sure all parties to a transaction sign all the legal documents including disclosures.
2. Pay Closing Costs: Escrow insures that the home buyer deliver to a trust account under escrow the monies needed to close a transaction per the conditions of the purchase agreement and lender underwriting guidelines.
3. Finally, Closing Day: Escrow makes sure the homeowner signs any and all documents needed prior to the close of escrow. If their are documents which are not signed by the buyer , seller , lender, title or any other entity prior to the close of escrow, then , the escrow will not close on time and may be held up or alter other conditions of the transaction. Make sure you are ahead of the pack when getting escrow tasks completed. It is wise that a home buyer contact their escrow company from time to time to make sure the transaction is moving smoothly. Never rely on any loan officer for that information. Always, contact escrow , your loan officer to cross evaluate your pathway to closing your transaction. We want you to be pro active in your approach to obtaining a smooth real estate transaction. So we, want to you talk to escrow. It insures that everyone is speaking the same language “so to speak” when it comes to working on your transaction. We want to close the transaction as much as you do. That is why we provide this valuable information. We look forward to speaking with you, soon.