Be Safe With An Escrow Account

In real estate transactions, escrow generally refers to a deposit of funds by one party in an account that will be transferred to another party upon completion of a particular set of conditions;  For example often time refers to the portion of a mortgage payment that is designated to pay for taxes and hazard insurance.  It is separate from the principal ann interest portion of a mortgage payment.  Some mortgage companies require borrowers to maintain this type of financial account for the life of the loan while others simply offer it as an option.

An escrow account may also be used by a buyer when they are purchasing a home from a seller who agrees to make repairs to the property before they receive their payment.  The escrow officer will disburse the funds only when all the repair provisions have been met and the account will be closed.

Whether you are buying or selling real estate, understanding what this term means can go a long way towards a smoother sales process.  If you still have questions feel free to contact Title Junction!


0 Responses to “Be Safe With An Escrow Account”

  1. Leave a Comment

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Jennifer Ferri, Owner

Title Junction Archives

Enter your email address to subscribe to this blog and receive notifications of new posts by email.

Join 272 other followers


Find Us On Thumbtack


%d bloggers like this: