As soon as the buyer finishes signing all of the loan documents, the escrow officer will “package” the documents together with any additional documents the lender has requested from the esrow officer.
The package of documents will be delivered or shipped by overnight express carrier back to the lender.
The lender will receive the package and check that all necessary documents are signed and included in the package. The lender may require up to 72 hours to complete this process.
After verifying that the package is complete, the lender will fund the loan; that is, the lender will wire transfer the loan funds to the title insurance company. The title insurance company will hold the funds in trust until the day the grant deed is recorded, transferring title to the buyer.
Concurrently with signing the loan documents, the escrow officer will request the buyer to deliver or wire transfer the buyer’s funds for the down payment and closing costs.
The buyer’s earnest money deposit already in escrow, and any agreed credits from the seller will be credited towards the total amount needed from the buyer.
When all funds are received: The lender’s funds by the title company; the buyer’s funds by the escrow company; the escrow officer will release the grant deed to the title company to be recorded at the County Hall of Records.
On the day of recording, when the title company receives confirmation that the deed is recorded, the title company will wire transfer the funds they are holding to the escrow company. The escrow officer will then begin the process of disburing the funds to pay off the seller’s mortgage, liens, and other expenses.
Would you like to know more? Call Bob Taylor Properties at 323-257-1080 or email at [email protected]