The escrow agent is careful to assure that all terms and conditions of the seller's and buyer's contract are met prior to the sale being finalized. This includes getting payments and certificates, finishing required forms, and getting the release documents for any loans or liens that were cleared with the transaction, assuring you have a free title to your home before the agreed upon price is fully paid.
These are the documents that escrow companies usually compile:
You're ready to close when every step is done in escrow process. All expenses like title insurance, inspections and real estate commissions are paid. The home's title goes to you and title insurance begins per the steps of your particular escrow process.
The escrow company gets a payment at the completion of closing. You'll know when it's time to submit the form of payment.
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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