The title/escrow company is responsible for a huge part of your home purchase closing process. Here is a breakdown of what the escrow/title company and escrow officers do:
- Order, receive and preview the title report
- Secure a copy of the CC&Rs (covenants, conditions and restrictions) of the property (if applicable)
- Send out copies of the CC&Rs and the preliminary title report to the appropriate parties in a timely manner
- Work with the buyer and the lender to coordinate the loan funding details for the property
- Work with the seller and his lenders to pay off the loan(s) on the property
- Order all the required documents and forms from the Homeowner’s Association (if applicable)
- Prepare Settlement Statements (HUD-1) and Closing Documents after the receipt of the loan package from the lender
- Coordinate and calculate the taxes and homeowner’s insurance payments needed for the final documents
- Review the file for payoffs, home warranty, termite reports, insurance and other documents
- Arrange the meeting for the buyer and seller to sign all the documents
- Facilitate the paperwork signing at the title company office
- Coordinate with the lender to arrange for the funds to be received in a timely manner
- Make recordings for the County Recorders Office
- Disburse copies of all the documents and money from escrow account to the appropriate parties
- Issue title insurance to protect the buyer should there be an issue in the future
Because there is so much riding on the accuracy and timeliness of the title company, it is important that you choose someone you trust to get the close of escrow job done properly.
