Whether it's your first property or your next property, I'll advise you through the process. E-mail me at kristine@nantahalaproperties.com to get some free information.

Completing the Transaction

 Nantahala Real Estate Company, INC can walk you through closing - 8283213101
Escrow: To close the sale of a home, a neutral, third party (the escrow company) is brought into the picture to assure the process will close correctly and on time. A property is said to be in escrow when in the closing transaction, payment is held by a third party on behalf of two parties when the exchange of money takes place. For example, in an online purchase, PayPal is the secure third party that obtains the buyer's cash, and then disburses the money to the seller.

The escrow holder insures that all terms and conditions of the seller's and buyer's negotiated agreement are completed prior to the sale being completed. This includes receiving funds and paperwork, filling out required forms, and seeking out the release documents for any loans or liens that have been cleared with the transaction, assuring you have a clean title to your home before the negotiated price is fully paid.

These are the legal documents that escrow holders usually look for:

  • Title insurance policies
  • Terms of sale and any seller-assisted financing
  • Requests for payment for various services to be paid out of escrow funds
  • Loan documents
  • Tax statements
  • Fire and other insurance policies

Closing on the home happens when the steps of the escrow are complete. All debts and fees are collected and paid at this time (covering expenses such as title insurance, inspections, real estate commissions). Title to the property is then given to you as new owner and related title insurance is issued as noted in the escrow instructions.

When closing is done, you'll submit a payment to the escrow company. I'll keep you up-to-date on the procedure.

The Escrow Holder Will:

  • Assemble escrow guidelines
  • Petition title search
  • Comply with the bank's guidelines as written in the escrow agreement
  • Receive funds from the buyer
  • Prorate insurance, tax, interest and other payments according to guidelines
  • Record deeds and other documents as instructed
  • Obtain title insurance policy
  • Close escrow when all instructions of seller and buyer are complete
  • Disburse payments and finalize instructions

The Escrow Holder Will Not:

  • Give advice - the escrow company has to remain an impartial, third-party status
  • Offer opinions about tax implications
The Escrow Holder Will:
The Escrow Holder Won't:
  • Assemble escrow guidelines
  • Perform a title research
  • Comply with the bank's standards as written in the escrow agreement
  • Accept payments from the buyer
  • Prorate interest, insurance, tax and other payments according to guidelines
  • Record deeds and other documents as instructed
  • Request title insurance policy
  • Close escrow when all instructions of seller and buyer are complete
  • Disburse funds and finalize instructions
  • Tell you what's best - the escrow agent has to remain an impartial, third-party status
  • Give insight about future tax estimations

Mortgage Escrow Account

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.

This is a easy to understand guide about the escrow process. Your particular plan may vary based on your lender and your escrow company.

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