Whether it's your first property or your next house, Amodio Realty, Inc. will be glad to advise you through the process. Call us at (315) 336-7000 and we'll give all the info you'll need to move forward.
Completing the Transaction
To complete the sale of a house, a neutral, third party (the escrow company) is employed to assure the process will close correctly and on time. Escrow holders hold money for "safe-keeping" in transactions between a buyer and seller. PayPal is a good example of an escrow company.
Tying up any loose ends like obtaining funds, completing forms, obtaining the documents for loans and liens, and making sure you get a clean title to the house prior to your purchase gets finalized are all parts of closing in which an escrow company is useful.
Escrow companies compile the following legal documents:
- 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
You're ready to close when all steps are done in escrow process. All outstanding payments and fees are taken and paid at this time (covering expenses such as title insurance, inspections, real estate commissions). Title to the home is then transferred to you as buyer and appropriate title insurance is issued as outlined in the escrow policy.
The escrow agent 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 research
- Meet the bank's guidelines as written in the escrow agreement
- Receive funds from the buyer
- Prorate tax, interest, insurance and other fees according to instructions
- Record deeds and other legal documents as instructed
- Request title insurance policy
- Close escrow when all instructions of seller and buyer have been met
- Disburse monies and finish instructions
- Advise you - the escrow agent must stay at a fair, third-party status
- Dispense opinions about tax implications
Mortgage Escrow Account
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.
Once you're comfortable with the escrow process, you can be a more assured buyer.