Don't let the unknown scare you from becoming a homeowner. I can help you understand the process. E-mail me at david@masseyre.com to get some free information.

Completing the Transaction

 David Massey Real Estate can walk you through closing - (336) 226-9374
First, a little about "escrow". To finalize the sale of a home, a neutral, third party (the escrow agent) is brought into the picture to assure the process will close perfectly and on time. Escrow holders hold money for "safe-keeping" in transactions between a buyer and seller. A simple way to understand what an escrow company does is to think of the use of PayPal for Internet purchases.

The escrow agent makes sure that all terms and conditions of the seller's and buyer's contract are met prior to the sale being completed. This includes receiving funds and records, signing required forms, and obtaining the release documents for any loans or liens that have been cleared with the transaction, assuring you have a clean title to your place before the negotiated price is fully paid.

These are the records that escrow companies usually look for:

  • Terms of sale and any seller-assisted financing
  • 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

Upon completion of all instructions of the escrow, closing can take place. All outstanding payments and fees are collected and paid at this time (covering expenses such as title insurance, inspections, real estate commissions). You'll then obtain the title to the house and the title insurance gets issued as noted in the escrow instructions.

At the close of escrow, fees are paid in an acceptable form to the escrow. I'll keep you updated on the procedure.

The Escrow Holder Will:

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

The Escrow Holder Will Not:

  • Tell you what's best - the escrow holder has to remain an impartial, third-party status
  • Give insight about the outcome of your taxes
The Escrow Holder Will:
The Escrow Holder Won't:
  • Write escrow guidelines
  • Request title research
  • Meet the bank's requirements as specified in the escrow agreement
  • Receive payments from the buyer
  • Prorate interest, insurance, tax and other payments according to guidelines
  • Record deeds and other paperwork as instructed
  • Request title insurance policy
  • Close escrow when all terms of agreement of seller and buyer are complete
  • Disburse payments and finalize instructions
  • Tell you what's best - the escrow agent must maintain a neutral, third-party status
  • Give insight 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.

This is a simple outline of the escrow process. Your particular process may vary depending on your lender and your escrow company.

Looking to Buy?

Are you looking to buy a house? Let us help you. Just fill out as much of the information below that you want and we'll get right back to you, with no obligation to you. We guarantee your privacy.

Your Information
Some Details
By checking the box, you agree that David Massey Real Estate may call/text you about your inquiry, which may involve use of automated means and prerecorded/artificial voices.. Message/data rates may apply.