What is Escrow anyway?? First off, we know this information is a little dry, but there is no real way to "spruce it up". To understand the escrow process you mainly need to understand that an escrow company is in charge of holding funds, documents, and instructions of a real estate sale and in making sure all of the details of your sale have been handled properly. We, at Santa Monica Escrow, make sure the details have been handled properly so that the sale can be completed. We are sure you have lots of questions about escrow. Here are answers to the most popular ones. If you any further questions, just give us a call, 1-310-314-2442 or e-mail us at Info@SantaMonicaEscrow.com and we'll be happy to answer them.

Top "7" Escrow Questions. What is Escrow? Why do I need an escrow company? Who chooses the escrow company? Who does the escrow company work for? Who pays for the escrow? What is the difference between an Independent Escrow company and one run by a Title Company or Realty Estate Company? Do I have to choose a "local" escrow company?

What is an escrow? Simply defined, an "escrow" is a deposit of funds, a deed or other instrument by one party for the delivery to another party upon completion of a particular condition or event. All states in the U.S. require "escrow" during the sale of real estate. Some states utilize attorneys but in most states in the western U.S., escrow is handled by an "escrow company". The law requires that funds and or documents pertaining to the sale are held in "escrow" until ALL of the instructions in the transaction have been followed. In most states in the western U.S., these funds and documents are held by an Escrow Company, such as Santa Monica Escrow. back to top   Why do I need an "escrow company"? An Escrow Company is a "neutral, third party agent for all the principals in a real estate transaction" Basically stated, as an "impartial" participant in your transaction, we hold your money and your documents and do not release them until all the conditions and instructions in your sale are completed. When all the conditions are met, we consider the escrow "closed" prepare the Closing or Settlement Statement, and (hooray) the property is transferred. back to top   Who chooses the escrow company? As the principal in the sale you choose the escrow company. Which means that both the buyer and seller have equal rights to make the choice. The listing and selling agents may suggest either escrow or title. Regardless of who they suggest, you, as the principles in the sale, have the right to choose any escrow company that you like. Remember, only independent escrow companies such as Santa Monica Escrow, work solely for you. To learn more about the difference between Independent Escrow companies and bundled services we've provided you with a comprehensive list of Escrow Service Provider Requirements. back to top Next Page