Buying real estate for the first time can be intimidating. I can help. E-mail me at anne.stoneridge@gmail.com .

I'll Champion for You Through Closing

 Stoneridge Realty & Property Management Services can walk you through closing - 760-727-3776
Let's talk about "escrow". An escrow company is used to assure your property closes on time and the closing process goes smoothly. Escrow companies hold money for "safe-keeping" in an exchange between a buyer and seller. A simple way to understand what an escrow company does is to compare it to PayPal for online purchases.

The escrow company is careful to assure that all terms and conditions of the seller's and buyer's agreement are performed prior to the sale being completed. This includes securing funds and paperwork, finishing required forms, and getting the release documents for any loans or liens that were cleared with the transaction, assuring you have a free title to your house before the agreed upon price is fully paid.

The documents the escrow agent may collect include:

  • Title insurance policies
  • 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

Closing on the house takes place when all of the procedures of the escrow are finished. At this time, all payments and fees for inspections, title insurance and real estate commissions are collected. The house's title gets transferred to you and title insurance is issued per the policies of your particular escrow process.

When closing is completely finished, you'll make a payment to the escrow company. You'll know when it's time to submit the form of payment.

The Escrow Holder Will:

  • Assemble escrow instructions
  • Perform a title search
  • Meet the bank's requirements as specified in the escrow agreement
  • Accept funds from the buyer
  • Prorate tax, interest, insurance and other fees 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 are complete
  • Disburse payments and finish instructions

The Escrow Holder Will Not:

  • Tell you what's best - the escrow holder stays at an impartial, third-party status
  • Offer opinions about future tax estimations
The Escrow Holder Will:
The Escrow Holder Won't:
  • Prepare escrow instructions
  • Perform a title inquiry
  • Comply with the bank's standards as outlined in the escrow agreement
  • Receive payments from the buyer
  • Prorate interest, insurance, tax and other payments according to instructions
  • Record deeds and other legal documents as instructed
  • Request title insurance policy
  • Close escrow when all instructions of seller and buyer are complete
  • Disburse funds and finish instructions
  • Advise you - the escrow agent must stay at a fair, 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. Usually, the home buyer makes a payment at closing and also makes regular deposits through their monthly mortgage payment to fund the Escrow Account.

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