How long does escrow take when I sell my house?
I need to sell my home fast, is 30 days enough time?
So you’ve decided to sell your home in Riverside-Corona-Norco-Eastvale and you want to know how long it takes to close escrow; here is some good information to help you understand escrow in timelines from Jory Blake, a Corona Real Estate Agent. Okay here we go….
If they have all the proper selling documents, the title documents, and the money they can close immediately. If it is a refi or distressed sale there are 3 day right of rescission periods, so that should you change your mind, you can cancel.
If escrow has everything they need and have set up the recording of the new title for Monday, you should close.
The length or term of an escrow when selling your Riverside-Corona-Norco-Eastvale home is largely determined by the mutual agreement of the parties to the escrow. The number of days it will take to complete the escrow and/or the target closing date are indicated in the purchase contract and escrow instructions. Sometimes, the closing of an escrow can be delayed by the time it takes to approve and underwrite the loan if a lender is involved and new financing is being obtained by a buyer or borrower. Also, an escrow may not close on time as a result of unexpected circumstances, documents that have not been signed, or disputes between the parties.
What happens when a transaction fails to close and the escrow cancels?
Many escrow instructions provide for cancellation of escrow in the event of a default. Where a transaction fails to close, the parties will need to execute cancellation agreement. If the parties are able to come to a mutual agreement to cancel, it is likely that the parties will execute a “cancellation of contract” completed by a Corona real estate broker. Also, most escrow companies will prepare and require their own mutual cancellation instructions to be executed, and this is especially true in cases where the escrow holds funds on deposit. Before the escrow officer can release any funds, the parties must agree to the disposition of the funds in writing. This instruction will include the payment of any applicable fees or charges incurred by the escrow holder or other costs indicated in the escrow instructions. In some cases, the escrow officer may charge an escrow cancellation fee, if such a fee had been disclosed and agreed upon by all parties in the escrow instructions. If there is no agreement between the parties as to the disposition of funds on deposit, the escrow officer will not release any funds until an agreement is reached in writing.
What happens when escrow closes?
When an escrow has “closed”, this means that all of the conditions of the escrow have been met, the loan has funded in the case of transactions involving new financing, documents have been recorded, and the property and funds have legally changed hands. At closing, your escrow officer will be responsible for several things. Specifically, the escrow officer will be preparing your final closing statement which is essentially an itemized accounting of the escrow which reflects all of the non-recurring and recurring closing costs, credits and debits, and prorations. The final closing statement will represent all of the financial terms of the transaction.
If funds are due you at the close of escrow, the escrow officer will be responsible for disbursing those funds. The escrow officer will also be responsible for the disbursement of commissions to Corona real estate brokers and mortgage brokers, as well as payments due to homeowner associations, termite companies, insurance companies, notaries, natural hazard disclosure companies, and other third-party and service providers.
I hope that the information I have provided was useful and understanding. Jory Blake is a well-respected seasonal Realtor in Riverside and San Bernardino Counties. If there are anymore questions Jory can be reached at (951)742-3751.