Be Informed About the Escrow Process

Whether it's your first place or your next home, I'll advise you through the process. E-mail me at beckr@realtracs.com to get some free information.

The Home is Almost Yours

Beck & Beck Realty, Inc can walk you through closing - (615)226-9900

First, a little about "escrow". To complete the sale of a property, a neutral, third party (the escrow company) is engaged to assure the process will close appropriately and on time. Escrow agents hold money for "safe-keeping" in an exchange between a buyer and seller. PayPal is a good example of an escrow company.

The escrow agent makes sure that the terms and conditions of the agreement between the seller and buyer are performed in preparation of the sale being completed.

Escrow agents want to acquire the following legal documents:

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
Title insurance policies

Upon finishing of all instructions of the escrow, closing can take place. All expenses like title insurance, inspections and real estate commissions are paid. Title to the home is then transferred to you as new owner and correct title insurance is issued as noted in the escrow instructions.

When closing is completely finished, you'll pay the fees to the escrow holder. As your real estate agent, I'll let you know what is an acceptable form of payment.

The Escrow Holder Will:

Prepare escrow instructions
Request title research
Meet the bank's guidelines as written in the escrow agreement
Accept funds from the buyer
Prorate tax, interest, insurance and other fees according to guidelines
Record deeds and other paperwork as instructed
Obtain title insurance policy
Close escrow when all terms of agreement of seller and buyer have been finished
Disburse funds and finalize instructions

The Escrow Holder Won't:

Advise you - the escrow agent must stay at a fair, third-party status
Dispense opinions about the outcome of your taxes

The Escrow Holder Will:		The Escrow Holder Won't:
Write escrow instructions Petition title research Meet lender's requirements as noted in the escrow agreement Receive payments from the buyer Prorate tax, interest, insurance and other fees 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 met Disburse funds and finalize instructions		Offer advice - the escrow holder stays at an impartial, third-party status Give insight about tax implications

Mortgage Escrow Account

Creating a Mortgage Escrow Account helps keep track of on-going expenses while there's a loan on your house. Though most home buyers make payments via their monthly mortgage payment, Escrow Accounts are deposited into at closing as well.

Now you know more about being in escrow. And, you can be a better informed home buyer and future homeowner.