How Escrow Works
Escrow reduces the risk of fraud by acting as a trusted third-party that collects, holds and only disburses funds when both Buyers and Sellers are satisfied.
Escrow reduces the risk of fraud by acting as a trusted third-party that collects, holds and only disburses funds when both Buyers and Sellers are satisfied.
Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
HOW DOES ESCROW FIT INTO THE HOME<br />
BUYING PROCESS?<br />
The home buyer and seller usually pick an escrow agent while negotiating the<br />
purchase agreement. They can also draft specific instructions to the escrow<br />
agent. The agent will then collect the buyer's earnest money deposit, along with<br />
copies of the purchase agreement and any other paperwork.<br />
The buyer will then work with a lender to finalize the mortgage. That can<br />
involve:<br />
A home inspection,<br />
A title report and title insurance,<br />
Acquiring homeowner's insurance,<br />
Comparing the final mortgage offer with the good faith estimate, and<br />
The final walkthrough.
Change language