Your escrow professional may:
- Open escrow and deposit good faith funds into an escrow account.
- Conduct a title search to determine the ownership and title status of the real property.
- Review the preliminary report and begin the process of working with you and the title officer to eliminate the title exceptions the Buyer and the Buyer’s new lender are not willing to take subject to. This includes ordering a payoff demand from your existing lender.
- Work with the Buyer’s lender to get the loan documents into escrow.
- Prorate fees, such as real property taxes, per the contract and prepare the settlement statement.
- Set separate appointments allowing the Buyer and Seller to sign documents and deposit funds.
- Review documents and ensure all conditions are fulfilled and certain legal requirements are met.
- Request funds from Buyer and Buyer’s new lender.
- When all funds are deposited and conditions met, record documents with the County Recorder to transfer the real property to the Buyer.
- After recording is confirmed, close escrow and disburse funds, including proceeds, loan payoffs, tax payments, and more.
- Prepare and send final documents to all parties.
- The closing or signing appointment
- The escrow holder will contact you or your agent to schedule a closing or signing appointment.
You will have a chance to review the settlement statement and supporting documentation. This is your chance to ask questions and clarify terms. You should review the settlement statement carefully and report discrepancies to the escrow officer. This includes any payments that may have been missed. You are responsible for all charges incurred, even if overlooked by the escrow holder. It’s better to bring any issues to his or her attention before the closing has been completed.
- The escrow holder is obligated by law to have the designated amount of money before releasing any funds. If you have questions or foresee a problem, let your escrow officer know immediately.
- Don’t forget your identification. You will need valid identification with your photo I.D. on it when you sign documents that need to be notarized (such as a deed).A driver’s license is preferred. You will also be asked to provide your social security number for tax reporting purposes, along with a forwarding address
What happens next?
- If the Buyer is obtaining a new loan, the Buyer’s signed loan documents will be returned to the lender for review. The escrow holder will ensure that all contract conditions have been met and will ask the lender to “fund the loan.” If the Buyer’s loan documents are satisfactory, the lender will send the check directly to the escrow holder. When the loan funds are received, the escrow holder will verify that all necessary funds are in. Escrow funds will be disbursed to you and other appropriate payees.
- The keys to the property are then given to the Buyer