The escrow company makes sure that the terms and conditions of the agreement between the sellers and the buyers are reached prior to the sale being finalized.
Escrow companies compile the following legal documents:
Upon completion of all instructions of the escrow, closing can take place. All expenses like title insurance, inspections and real estate commissions are paid. You'll then get the title to the property and the title insurance gets issued as outlined in the escrow instructions.
When closing is done, you'll submit a payment to the escrow company. You'll know when it's time to submit the form of payment.
Creating a Mortgage Escrow Account helps keep track of on-going expenses while there's a loan on your house. Escrow Accounts are contributed to monthly by the home buyer (who is now the homeowner), but there is also a lump sum that goes into the account at closing.
This is a quick run-down of the escrow process. Your individual methods might be different based on your lender and your escrow agent.
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