Getting your offer accepted is a wonderful event, however, it doesn’t mean that the buying process is over quite yet. You’ll need to go through the closing process known as “escrow.” This involves many steps, various professionals, and a lot of paperwork. To help in understanding this final process when buying a home Downers Grove IL Realtor Shanon Tully has some valuable insights.
What is Escrow?
When transferring property from one owner to another the potential for problems and challenges is significant. To protect both the buyer and the seller, the process of escrow is used. This means that a third party will hold the funds and documents while the transaction takes place. This third party should be unbiased regarding the transaction – meaning that they have no interest in who gets the better deal. Their goal is to make sure that each party fulfills their end of the agreement. Some aspects of a real estate transaction are inspections, disclosures, contingences, etc.
Who Will Be There?
At closing you will see your your real estate agent, the lender, the seller, the seller’s real estate agent, the closing agent, and the necessary attorneys. The seller will sign over the deed and closing statements. As the buyer, you will need to make the required escrow payments and sign various documents.
One way to prepare for escrow is to ensure that the contract is clear and thorough. The terms of the transaction need to be spelled out. This includes what personal property is included, date of closing, which party pays what of closing costs, financing, and date of occupancy. Whatever agreements were made between the buyer and the seller need to be identified as well. Any contingencies will need to be met before the contract can become official. Both parties should sign off when a contingency is complete. Specifications about what will occur if the agreements is delayed or fails are also required. Rely on your real estate agent to ensure that these documents include all the necessary information and are filled out correctly.
Another way to prepare for closing is to review the title reports. The preliminary title report will specify the legal description of the property. Make sure to look for any liens. The final report should also be reviewed in detail. Lean on your real estate agent as you review these documents to ensure that everything is clean and clear.
For help walking through the real estate process in or around Downers Grove IL, contact Downers Grove IL Realtor Shanon Tully today!