Escrow, Inspections & Appraisal
is the phase in which we learn more details about your most favored property
Escrow begins when the buyer’s earnest
money deposit and purchase offer is accepted by you. Escrow ends when the buyer becomes the
official new owner, registered in the county records.
Title Company and Escrow Holder: Signature Properties can help you select a
title company and escrow holder (often the same company), whose job it is to
act as a neutral third party which holds all instruments necessary to the sale,
including funds and deed with instructions as to their use. The title company will research the complete
recorded history of this property, to insure that the title is free and clear
of encumbrances by the date of closing and that all new encumbrances are
properly added to the title. You will
receive a “preliminary report” that will show current encumbrances and
easements. For example, some properties
are subject to subdivision restrictions, covenants, and conditions which can
place restrictions on materials used in a home construction or replacement
materials or may limit various activities. There may be recorded easements and
encroachments, where others have limited rights to use your property or you
theirs. Signature Properties always
strives to make sure you understand the title report in detail.
Contingencies: Most purchase
agreements provide the buyer with specific amounts of time to inspect the
property, review the preliminary title report and all disclosure documents and
obtain financing and insurance before they must actually complete their
purchase of the property. At the
successful conclusion of each of these milestones, the buyer will remove that
contingency of their purchase and move one step closer to the close. Or, the buyer may use information they have
learned to request a renegotiation of the terms of the contract (often the
price). This is when Signature
Properties’ objectivity and experienced as your listing agent can really make a
difference. Signature Properties is the
best at helping you make an informed decision on how to respond to the buyer.
Inspections: The buyer has the
right to have a wide variety of property inspections to determine the
property’s condition and the cost of any impending repairs or upgrades. Inspections may include roof, termite, pests, WDIs
(wood destroying insects), chimney/fireplace, property boundary survey, well,
septic systems, pool/spa, arborist, landscaping, watering systems, or mold. You are entitled to a copy of any of their
Appraisal & Loan Process: We recommend accepting offers from buyers who
have a lender’s pre-approval letter.
This is because this is stronger than a pre-qualification letter. In this phase of a transaction, the lender
will send an appraiser out to the property to ensure that the property is worth
the sales price.
It’s Time to Start Packing: Signature Properties can recommend when it is
time for you to start packing, based on our vast experience with transactions
similar to yours. Too soon, and you risk
having your house in upheaval right when a buyers’ offer falls apart or we need
to begin showing your home to prospective buyers again. Via its long term experience and its “Real
Estate Marketing Network”, this is a phase where Signature Properties shines
and adds tremendous value to your property sell experience in many ways.