An escrow company is a third party that processes legal documents about the transfer of property. It has to keep the money safe and not give it to you or the other person until everything in the agreement is done. It has an obligation to safeguard the funds and/or documents while they are in the possession of escrow, and to disburse funds and/or convey title only when all provisions of the escrow have been complied with.
What California Escrow Company Should You Work With?
In your purchase contract, the escrow company is a negotiable item between the buyer and seller. Most sellers rely on their real estate professional to select an escrow company that is reliable. Although, Realtors® can’t guarantee the work of any company they recommend, they know who the good companies are.
Popular Southern California escrow companies:
- Cardinal Pacific Escrow 562-493-9393
- Anchor Seaport Escrow 562-434-4437
Who Handles My Real Estate Sale or Purchase in an Escrow Company?
You will be assigned an Escrow Officer. He or she will compile your contractual agreements with the seller into Escrow Instructions which will be sent out to the buyer, seller and Jay Valento, Your Realtor® involved in the sale.
Review these instructions with the purchase contract. If you see a misspelling, call your Escrow Officer and real estate professional. Sign the instructions and return them back to the escrow company within 5 days or less.
Confidential Statement of Information
Along with your escrow instructions will be a Confidential Statement of Information form. This form enables the title insurance company to ensure the successful transfer of title. It covers where you have lived in the past 10 years along with other information so the title company can perform title search.
Other documents that are in your Escrow package include:
Homeowner’s Insurance form – your property will need fire insurance. So, call your local insurance agent to arrange for that. Then, fill out the form or call your escrow officer
Preliminary Change of Ownership – it must be submitted to the County Recorder with the Grant Deed (all done by your escrow company). This is used by the Tax Assessor to determine your property taxes.
Vesting Worksheet – indicates how you plan to take title to the property. Consult your tax professional or Certified Public Accountant for advice on making a decision that best suits your financial and estate planning goals.
When your loan is finalized, you will need to bring your personal identification card or Driver’s License to escrow to sign the loan documents and other closing documents at the close of escrow.
What Questions Do You Have about Escrows or Real Estate?
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