Whether it's your first house or your next house, I'll help you through the process. E-mail me at Info@PipelineROI.com .

Steps to Closing on a House

 Metro Properties can walk you through closing - 800-252-6633
First, a little about "escrow". An escrow holder is brought on to assure your property closes on time and the process goes smoothly. Escrow agents 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 taking in funds, signing forms, obtaining the documents for loans and liens, and assuring you get a clear title to the property before your purchase gets finalized are all parts of closing in which an escrow agent is useful.

The records the escrow company may obtain include:

  • 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 parts are done in escrow process. All expenses like title insurance, inspections and real estate commissions are paid. Title to the house is then transferred to you as now current homeowner and correct title insurance is issued as noted in the escrow instructions.

The escrow company gets a payment when the closing is complete. I'll keep you informed on what comes next.

The Escrow Holder Will:

  • Write escrow instructions
  • Petition title search
  • Comply with lender's standards as noted in the escrow agreement
  • Accept payments from the buyer
  • Prorate insurance, tax, interest and other payments according to instructions
  • Record deeds and other paperwork as instructed
  • Obtain title insurance policy
  • Close escrow when all terms of agreement of seller and buyer are complete
  • Disburse monies and finalize instructions

The Escrow Holder Won't:

  • Give advice - the escrow holder stays a neutral, third-party status
  • Dispense opinions about future tax estimations
The Escrow Holder Will:
The Escrow Holder Won't:
  • Assemble escrow guidelines
  • Petition title inquiry
  • Meet lender's requirements as specified in the escrow agreement
  • Intake funds from the buyer
  • Prorate insurance, tax, interest and other payments according to instructions
  • Record deeds and other legal documents as instructed
  • Request title insurance policy
  • Close escrow when all terms of agreement of seller and buyer have been met
  • Disburse payments and finish instructions
  • Tell you what's best - the escrow agent must maintain a neutral, 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. Generally, the Escrow Account is partially funded at closing and the home buyer makes on-going contributions through their monthly mortgage payment.

Once you have the ABCs of the escrow process down, you can be a better buyer.

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