As you prepare to buy a North Scottsdale home, you’ll need to know what “escrow” is. After all, you’ll have to place money in an escrow account before you can close on your new home, and you might even have to pay into the account once you’re a homeowner. So, if you’re still not sure what the point of escrow is or how it benefits you, take a look at this explanation before you buy a home in North Scottsdale.
What Does Escrow Mean?
When you first make an offer on a house, you have to write an earnest money check. Instead of being cashed right away, it will be sent to an escrow account while your purchase is negotiated. Certain important documents, such as your purchase contract, will also be held in the escrow account before you close on the house and it becomes your home.
An impartial third party – such as a title agent or escrow agent – will likely preside over the account during this time. This way, the interests of both the buyer and the seller are protected until close of escrow.
What Is Close of Escrow?
Once you complete all the documents involved with buying a home, the escrow agent will disburse the money and make sure all necessary documents are recorded. The agent will arrange for a title search, decide what the closing date will be, and then prepare to file the deed for the home. Then, the title will transfer to you. At that point, your escrow will close and you are officially a homeowner!
Now that you know the basics of the escrow account, you should feel ready to buy the North Scottsdale home of your dreams! Contact The Matheson Team for help today.
Realtor | Founder
The Matheson Team – RE/MAX Fine Properties
21000 N. Pima Rd., #100, Scottsdale, AZ 85255