The escrow holder makes sure that the terms and conditions of the agreement between the sellers and the buyers are met in preparation of the sale being finished.
The pieces of paperwork the escrow company may obtain include:
Closing on the home happens when all of the procedures of the escrow are finished. All expenses like title insurance, inspections and real estate commissions are paid. Title to the home is then transferred to you as new homeowner and appropriate title insurance is issued as noted in the escrow instructions.
When closing is in it's last step, you'll submit a payment to the escrow agent. You'll know when it's time to submit the form of payment.
A Mortgage Escrow Account is established to pay recurring expenses while there is a loan on the 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 easy to understand guide about the escrow process. Your particular process will be different depending on your bank and your escrow company.
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