Escrow Process Overview
Congratulations! Offer is accepted. What now?
Within 3 days of the offer acceptance, the buyer must deposit the EMD (earnest money deposit) into escrow.
The escrow company will issue escrow instructions based on the agreements reached between the parties in the purchase agreement. All parties will have the opportunity to review the instructions. Should there be an error, the parties will be able to identify the error and have it corrected.
The buyer will order a physical inspection which usually costs between $400 and $500. A written report will be generated identifying anything the inspector notes. The buyer’s agent will create a Request for Repair based on the results of the report and send this request to the seller’s agent. The buyer will also order a termite inspection if it hasn’t already been done so by the seller. The buyer will request Section 1 work to be done on the Request for Repair. The seller decides which items they are willing to complete on the Response to Request for Repair. This is a negotiation process between buyer and seller. Once complete, the inspection contingency is due to be removed 17 days from offer acceptance (per contract).
The lender will request an appraisal. The seller’s agent will meet the appraiser at the property. Usually the appraisal comes in a couple of days later. If the appraisal comes in lower than the purchase price, buyer and seller will negotiate the difference. The appraisal contingency is due to be removed 17 days from offer acceptance (per contract).
The lender tells the buyer and buyer’s agent when there is full loan approval and they are clear to close. Full loan contingency and ALL contingencies are due to be removed typically 21 days from offer acceptance. If buyer is not ready to remove their contingencies during this timeframe, seller can issue a Notice to Perform. This give the buyer 24 hours to remove all contingencies or the seller can cancel the escrow.
A few days before closing escrow, the buyer will sign loan documents. Typically one day before close of escrow, the lender will wire the money to escrow which is called funding the loan.
The day after funding is when the county records the transfer (sale) and the escrow company distributes funds to the seller and any excess to the buyer.
YOUR Leisure Village Realtor Team
Meryll Russell
Realtor - Broker
805-405-0411
meryllrussell@hotmail.com
CAL DRE 01435748
Meryll has been a Realtor since 2004 and got her Broker’s license in 2019. She has sold hundreds of homes all over Southern California. Meryll received her Bachelor of Science in Business Administration with an emphasis in Marketing from USC. She loves handling the internet marketing & social media aspects of our business. Her first job out of college was working for IBM selling personal computers. She has over 24+ years of sales and negotiation experience.
Sharron Parker
Realtor SRES
Seniors Real Estate Specialist
805-443-1998
sharronbparker@aol.com
CAL DRE 00900167
Sharron has sold over 1000 homes in her real estate career. She is passionate about helping people with the purchase or sale of their home, and is an EXPERT IN NEGOTIATION. Pride and professionalism are words that are often used to describe Sharron. She is one of those diligent, hard workers who always answers her phone, and returns calls and emails promptly. She is truly grateful for all the referrals she receives from her clients and friends.
Jon Niemann
Realtor
805-603-7060
cantamar@me.com
CAL DRE 02104018
Jon has spent most of his career life in the successful marketing of wines in Southern California restaurants and fine wine retailers, leading seminars, wine dinners and events where he shared his passion for the California wine business. A Southern Californian with generations stretching back to the early 1800s, He absolutely LOVES helping our clients find the perfect home. His charisma is contagious. He is passionate about helping people find the right home.
This information is for your personal, non-commercial use and may not be used for any purpose other than to identify prospective properties you may be interested in purchasing. Display of MLS data is usually deemed reliable but is NOT guaranteed accurate by the MLS. Buyers are responsible for verifying the accuracy of all information and should investigate the data themselves or retain appropriate professionals. Information from sources other than the Listing Agent may have been included in the MLS data. Unless otherwise specified in writing, Broker/Agent has not and will not verify any information obtained from other sources. The Broker/Agent providing the information contained herein may or may not have been the Listing and/or Selling Agent.
