If you are buying or selling a home, you may have heard the term “escrow”. Simply put, you can think of escrow as a central station for making sure all the terms of the transaction are met. The escrow officer makes sure all paperwork is collected and distributed to all parties who have an interest in the transaction as well as making sure all funds and activities are taken care of in a timely fashion.
Regardless if you are a buyer or a seller, you will receive communication from your escrow officer during the transaction, so be prepared to communicate with this party as well as your real estate agent.
What buyers need to know:
Once an offer is accepted by both parties, the purchase and sale paperwork is submitted to escrow along with your earnest money. Then Escrow will begin their lengthy list of action items.
What sellers need to know:
Unless there are liens on the property, the seller may have very little contact with the escrow agent until it is time to sign.
It is important to respond to any requests from your escrow officer in a timely manner else the transaction may be delayed. There are many other steps an as every transaction is unique! An experienced real estate agent will guide you through and your escrow officer will prep you on what to expect on your next transaction.