Escrow Process Explained

If you're buying a home, understanding the escrow process is crucial. This guide explains escrow and what you should expect once you're involved in it.

What Is Escrow?

Escrow acts as a neutral third-party account during real estate transactions, holding funds and documents to protect both buyers and sellers. It ensures fair and secure handling of all transaction components.

Steps in the Escrow Process

Upon entering escrow, you will need to provide necessary documentation like your purchase agreement, loan information, and insurance details to the escrow company. The company will verify these documents, outline the transaction costs, and require you to deposit transaction funds, typically via wire transfer or certified check.

Closing Your Real Estate Transaction

When all conditions are met, the escrow company finalizes the transaction. This involves disbursing funds to pay off the seller’s mortgage, cover closing costs, and transfer the remaining balance to the seller.

Conclusion

While complex, the escrow process is a protective measure in real estate transactions. Understanding each step helps you navigate it effectively. For more guidance or assistance with your transaction, contact our experienced real estate team.

Contact Pacific Northwest Realty Group

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