The escrow agent makes sure that the terms and conditions of the agreement between the seller and buyer are reached prior to the sale being finalized.
These are the legal documents that escrow holders usually look to collect:
Closing on the home takes place when the steps of the escrow are done. At this time, all payments and fees for inspections, title insurance and real estate commissions are paid out. The house's title goes to you and title insurance begins per the policies of your particular escrow process.
The escrow company gets a payment at the completion of closing. As your real estate agent, I'll let you know what is an acceptable way of paying.
Creating a Mortgage Escrow Account helps keep track of on-going expenses while there's a loan on your house. Generally, the Escrow Account is partially funded at closing and the home buyer makes on-going contributions through their monthly mortgage payment.
This is a easy to understand guide about the escrow process. Your specific plan might vary based on your lender and your escrow company.
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