Whether it's your first home or your next house, We'll educate you through the process.
Call us at 203-387-0200 and we'll give all the info you'll need to move forward.
Buying Your Next Home: Closing
First, a little about "escrow". An escrow holder is hired to assure your place closes on time and the process goes smoothly.
When payment is held by a third party in a transaction between a buyer and a seller, it's in escrow.
PayPal is a good example of an escrow company.
Clearing the final hurdles like taking in funds, signing forms, obtaining the documents for loans and liens, and making sure you get a clean title to the house before your purchase gets finalized are all parts of closing in which an escrow agent is useful.
Escrow holders want to obtain the following records:
- Requests for payment for various services to be paid out of escrow funds
- Loan documents
- Tax statements
- Fire and other insurance policies
- Title insurance policies
- Terms of sale and any seller-assisted financing
Closing on the property happens when the steps of the escrow are finished.
At this time, all payments and dues for inspections, title insurance and real estate commissions are collected.
The home's title gets transferred to you and title insurance begins per the steps of your particular escrow agreement.
The escrow company receives a payment when the closing is complete.
We'll keep you up-to-date on what comes next.
The Escrow Holder Will:
The Escrow Holder Won't:
- Prepare escrow instructions
- Perform a title inquiry
- Comply with the bank's standards as written in the escrow agreement
- Receive funds from the buyer
- Prorate insurance, tax, interest and other payments according to instructions
- Record deeds and other legal documents as instructed
- Obtain title insurance policy
- Close escrow when all instructions of seller and buyer have been finished
- Disburse payments and finish instructions
- Advise you - the escrow holder stays a neutral, third-party status
- Give insight about future tax estimations
Mortgage Escrow Account
A Mortgage Escrow Account is started to make payments for rolling expenses while there is a loan on the house.
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 smarter home buyer and future homeowner.