Whether it's your first home or your next property, I'll educate you through the process. E-mail me at mcouto@mcoutorealtor.com .

Completing the Transaction

 Rosa Agency can walk you through closing - (201) 997-7860 x16
First, a little about "escrow". When you're closing on your new house, an escrow agent is used to assure the process will close correctly and in a certain amount of time. A property is said to be in escrow when in the closing transaction, funds is held by a third party on behalf of two parties when the transaction is taking place. A simple way to understand what an escrow company does is to think of how you might use PayPal for Internet purchases.

The escrow holder insures that all terms and conditions of the seller's and buyer's negotiated agreement are met prior to the sale being completed. This includes getting monies and certificates, finishing required forms, and getting the release documents for any loans or liens that have been cleared with the transaction, assuring you have a clean title to your house before the asking price is fully paid.

Escrow companies look for the following records:

  • 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

Upon completion of all portions of the escrow, closing can take place. All expenses like title insurance, inspections and real estate commissions are paid. The home's title goes to you and title insurance begins per the policies of your particular escrow process.

At the close of escrow, payment of funds shall be made in an acceptable form to the escrow. As your real estate professional, I'll let you know what is an acceptable form of payment.

The Escrow Holder Will:

  • Write escrow instructions
  • Petition title search
  • Comply with lender's guidelines as noted in the escrow agreement
  • Intake payments from the buyer
  • Prorate tax, interest, insurance and other fees according to guidelines
  • Record deeds and other documents as instructed
  • Request title insurance policy
  • Close escrow when all instructions of seller and buyer are met
  • Disburse funds and finalize instructions

The Escrow Holder Will Not:

  • Tell you what's best - the escrow holder stays a neutral, third-party status
  • Dispense opinions about the outcome of your taxes
The Escrow Holder Will:
The Escrow Holder Won't:
  • Write escrow instructions
  • Request title search
  • Comply with the bank's standards as specified in the escrow agreement
  • Accept payments from the buyer
  • Prorate tax, interest, insurance and other fees according to guidelines
  • Record deeds and other legal documents as instructed
  • Request title insurance policy
  • Close escrow when all instructions of seller and buyer are met
  • Disburse monies and finish instructions
  • Offer advice - the escrow holder must stay at a fair, third-party status
  • Offer opinions about tax implications

Mortgage Escrow Account

Creating a Mortgage Escrow Account helps keep track of on-going expenses while there's a loan on your house. Though most home buyers make payments via their monthly mortgage payment, Escrow Accounts are deposited into at closing as well.

Once you're at ease with the escrow process, you can be a more assured buyer.