Don't let real estate industry jargon keep you from becoming a homeowner. I can help you understand the process. E-mail me at mccisse@americandreamcorporation.com .

What To Expect When You're Closing in San Diego, California

 American Dream Corporation dba ADC Realty can walk you through closing - 8582927170
First, a little about "escrow". An escrow holder is used to assure your place closes on time and the closing process goes smoothly. Escrow holders hold money for "safe-keeping" in transactions between a buyer and seller. A simple way to understand the concept of what an escrow company does is to think of the use of PayPal for Internet purchases.

Clearing the final hurdles like receiving funds, signing forms, securing the documents for loans and liens, and assuring you get a clear title to the home prior to your purchase gets finalized are all parts of closing in which an escrow agent is useful.

Escrow companies want to acquire the following pieces of paperwork:

  • 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
  • Terms of sale and any seller-assisted financing

Closing on the house happens when all of the procedures of the escrow are complete. All debts and fees are collected and paid at this time (covering expenses such as title insurance, inspections, real estate commissions). The property's title gets transferred to you and title insurance begins per the steps of your particular escrow agreement.

The escrow holder gets a payment when the closing is complete. You'll know when it's time to submit the form of payment.

The Escrow Holder Will:

  • Prepare escrow guidelines
  • Petition title search
  • Meet the bank's guidelines as specified in the escrow agreement
  • Intake payments from the buyer
  • Prorate tax, interest, insurance and other fees according to guidelines
  • Record deeds and other legal documents as instructed
  • Obtain title insurance policy
  • Close escrow when all terms of agreement of seller and buyer are complete
  • Disburse funds and finalize instructions

The Escrow Holder Won't:

  • Offer advice - the escrow company stays a neutral, third-party status
  • Give insight about the outcome of your taxes
The Escrow Holder Will:
The Escrow Holder Won't:
  • Prepare escrow instructions
  • Perform a title search
  • Comply with lender's guidelines as noted in the escrow agreement
  • Receive funds from the buyer
  • Prorate insurance, tax, interest and other payments according to guidelines
  • Record deeds and other documents as instructed
  • Obtain title insurance policy
  • Close escrow when all instructions of seller and buyer have been finished
  • Disburse payments and finalize instructions
  • Offer advice - the escrow holder stays at an impartial, third-party status
  • Offer opinions 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. Generally, the Escrow Account is partially funded at closing and the home buyer makes on-going contributions through their monthly mortgage payment.

Now you know more about how to close on your future home. And, you can be a smarter home buyer and future homeowner.

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American Dream Corporation dba ADC Realty

CABRE Lic. #01411740

4660 La Jolla Village Drive Ste. 100
San Diego, CA 92122-1251