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  • Tax statements
  • Fire and other insurance policies
  • Title insurance policies
  • Terms of sale and any seller-assisted financing
  • Requests for payment for various services to be paid out of escrow funds
  • The process of buying real estate for the first time can be intimidating. Let me help you. E-mail me at willsoncb@gmail.com to get some free information.

    First-Time Home Buying: How To Close on a Place

     Homes & Horse Farms Real Estate can walk you through closing - (859) 576-1877
    Let's talk about "escrow". To close the sale of a place, a neutral, third party (the escrow holder) is engaged to assure the transaction will close properly and on time. Escrow holders hold money for "safe-keeping" in transactions between a buyer and seller. An easy way to think of what an escrow company does is to think of the use of PayPal for online purchases.

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

    Escrow companies compile the following legal documents:

    Upon completion of all instructions of the escrow, closing can take place. All outstanding payments and fees are collected and paid off at this time (covering expenses such as title insurance, inspections, real estate commissions). Title to the property is then transferred to you as buyer and correct title insurance is issued as noted in the escrow policy.

    At the close of escrow, payment of funds shall be made in an acceptable form to the escrow. I'll keep you up-to-date on what comes next.

    The Escrow Holder Will:

    • Write escrow guidelines
    • Perform a title search
    • Meet lender's standards as specified in the escrow agreement
    • Accept funds from the buyer
    • Prorate interest, insurance, tax and other payments according to guidelines
    • Record deeds and other documents as instructed
    • Request title insurance policy
    • Close escrow when all terms of agreement of seller and buyer have been finished
    • Disburse payments and finalize instructions

    The Escrow Holder Won't:

    • Advise you - the escrow agent stays a neutral, third-party status
    • Offer opinions about future tax estimations
    The Escrow Holder Will:
    The Escrow Holder Won't:
    • Prepare escrow instructions
    • Petition title inquiry
    • Comply with the bank's standards as outlined in the escrow agreement
    • Intake funds from the buyer
    • Prorate tax, interest, insurance and other fees according to guidelines
    • Record deeds and other paperwork as instructed
    • Request title insurance policy
    • Close escrow when all instructions of seller and buyer are met
    • Disburse payments and finalize instructions
    • Offer advice - the escrow holder has to remain an impartial, third-party status
    • Offer opinions about tax implications

    Mortgage Escrow Account

    Often, to pay recurring costs while there's a loan on the house, a Mortgage Escrow Account is created. 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 how to close on your future home. And, you can be a more confident home buyer and future homeowner.

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