tag:blogger.com,1999:blog-438937866449701802024-03-13T10:21:40.787-07:00ESCROW OF THE WESTNEWS, INSIGHTS, AND TIPS FOR REAL ESTATE PROFESSIONALS ON THE REAL ESTATE INDUSTRY AND THE ESCROW PROCESSPeak Corporate Networkhttp://www.blogger.com/profile/06556302322163984634noreply@blogger.comBlogger11125tag:blogger.com,1999:blog-43893786644970180.post-12644230600238373092013-08-13T11:19:00.003-07:002013-08-13T11:27:08.034-07:00When does escrow typically open and how does it work? <br />
<div class="MsoNormal" style="margin: 0in 0in 0pt;">
<span style="font-family: Arial, Helvetica, sans-serif;">A common question from consumers is “When does escrow
typically open and how does it work?” T</span><a href="http://www.blogger.com/null" name="_GoBack"></a><span style="font-family: Arial, Helvetica, sans-serif;">he answer to
that <span style="font-family: Georgia, "Times New Roman", serif;">question</span> varies, depending on the type of transaction, but the below guide
can be used as an overview for the usual process.</span></div>
<div class="MsoNormal" style="margin: 0in 0in 0pt;">
<span style="font-family: Arial, Helvetica, sans-serif;"> </span></div>
<div class="MsoNormal" style="margin: 0in 0in 0pt;">
<span style="font-family: Arial, Helvetica, sans-serif;">In the typical escrow, the principals to the real estate
transaction that requires an escrow (borrower, lender, buyer and/or seller)
cause escrow instructions to be created, signed, and delivered to the escrow
officer. In the case of a real estate sale/purchase, escrow usually opens when
a fully executed purchase agreement has been delivered to an escrow holder. The
good faith deposit or initial down payment may or may not be deposited at the
same time. The delivery of the signed purchase agreement and/or accompanying
deposit to an escrow company is usually facilitated by the listing or selling
broker involved. Upon receipt of a fully executed purchase contract and/or good
faith deposit, the escrow officer will normally assign the transaction an
escrow number. When calling your escrow officer with questions or
concerns, it is helpful to have this escrow number handy because this will
allow the escrow officer to locate your file more easily. </span></div>
<div class="MsoNormal" style="margin: 0in 0in 0pt;">
<span style="font-family: Arial, Helvetica, sans-serif;"> </span></div>
<div class="MsoNormal" style="margin: 0in 0in 0pt;">
<span style="font-family: Arial, Helvetica, sans-serif;">The applicable broker will typically provide the escrow
officer with important information regarding the transaction, such as the names
and contact information for the principals, lending and title information,
selection of service providers, and other necessary details. After escrow
opens, the escrow officer will order a real property title search with the
title company designated by the parties, if this has not already been done by
the listing broker, and prepare escrow instructions. These instructions are
normally pre-approved by the brokers involved in the transaction. Once they are
deemed to be error free and finalized, the instructions are sent to the parties
for signature. These instructions essentially tell the escrow officer what to
do and when to do it, and basically give the escrow officer the authority to
act. It is worth pointing out that there are some aspects of a real estate
transaction that are not part of the escrow. For instance, the purchase
agreement contains several items that are not handled by escrow holders, such
as buyer and seller agreements regarding property fixtures, personal property,
removal of contingencies, liquidated damages, arbitration and mediation. It is
important to remember that if you have specific questions about the purchase
agreement, you should contact your licensed real estate broker or licensed
attorney.</span></div>
<div class="MsoNormal" style="margin: 0in 0in 0pt;">
<span style="font-family: Arial, Helvetica, sans-serif;"> </span></div>
<div class="MsoNormal" style="margin: 0in 0in 0pt;">
<span style="font-family: Arial, Helvetica, sans-serif;">Basically, the escrow officer can only process the escrow in
accordance with the escrow instructions. Therefore, without signed
instructions, the escrow officer cannot act or proceed. The escrow officer will
then perform those functions that they were authorized to do in writing by the
mutual agreement of the parties to a transaction, unless an instruction(s) is
unlawful and/or against the policy of the escrow holder. The required conditions,
processing, and facilitation of the escrow may differ depending on the type of
transaction and property involved. However, regardless of the type of escrow
being performed, it is only when all of the conditions required in the escrow
instructions have been satisfied that the escrow will be complete. At the close
of escrow, the escrow officer will release funds and documents in accordance
with the escrow instructions, pay all bills as authorized, and prepare and
deliver a final closing statement to the parties.</span></div>
<br />
<div class="MsoNormal" style="margin: 0in 0in 0pt;">
<o:p><span style="font-family: Calibri;"> </span></o:p></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-43893786644970180.post-87691947098136910432013-05-17T16:51:00.000-07:002013-05-17T16:53:11.230-07:00Escrow Tips for Buyers <span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">Most
first-time home buyers, and some returning home buyers are not familiar with
the escrow process when buying a home. At first, the process may seem confusing
and frustrating to home buyers. So, we have created an easy-to-understand
buyers escrow checklist that covers many of the
documents that you will encounter during a typical closing scenario.</span><span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span><br />
<br />
<span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">In
order to ensure a successful escrow process without any delays, the following
documents must be reviewed, completed, signed and returned to your escrow
officer. Failure to complete and return the following items in a timely manner
could result in a delay in closing your escrow on time.</span><span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span><br />
<br />
<ul type="disc">
<li class="MsoNormal" style="line-height: 13.5pt; margin: 0in 0in 0pt; mso-list: l0 level1 lfo1; mso-margin-bottom-alt: auto; mso-margin-top-alt: auto; tab-stops: list .5in;"><strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt; mso-fareast-font-family: "Times New Roman";">Escrow instructions</span></strong><span style="font-family: "Arial","sans-serif"; font-size: 9pt; mso-fareast-font-family: "Times New Roman";"><o:p></o:p></span></li>
<li class="MsoNormal" style="line-height: 13.5pt; margin: 0in 0in 0pt; mso-list: l0 level1 lfo1; mso-margin-bottom-alt: auto; mso-margin-top-alt: auto; tab-stops: list .5in;"><strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt; mso-fareast-font-family: "Times New Roman";">Confidential Statement of Information</span></strong><span style="font-family: "Arial","sans-serif"; font-size: 9pt; mso-fareast-font-family: "Times New Roman";"><o:p></o:p></span></li>
<li class="MsoNormal" style="line-height: 13.5pt; margin: 0in 0in 0pt; mso-list: l0 level1 lfo1; mso-margin-bottom-alt: auto; mso-margin-top-alt: auto; tab-stops: list .5in;"><strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt; mso-fareast-font-family: "Times New Roman";">Request for insurance information</span></strong><span style="font-family: "Arial","sans-serif"; font-size: 9pt; mso-fareast-font-family: "Times New Roman";"><o:p></o:p></span></li>
<li class="MsoNormal" style="line-height: 13.5pt; margin: 0in 0in 0pt; mso-list: l0 level1 lfo1; mso-margin-bottom-alt: auto; mso-margin-top-alt: auto; tab-stops: list .5in;"><strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt; mso-fareast-font-family: "Times New Roman";">Preliminary change of ownership</span></strong><span style="font-family: "Arial","sans-serif"; font-size: 9pt; mso-fareast-font-family: "Times New Roman";"><o:p></o:p></span></li>
<li class="MsoNormal" style="line-height: 13.5pt; margin: 0in 0in 0pt; mso-list: l0 level1 lfo1; mso-margin-bottom-alt: auto; mso-margin-top-alt: auto; tab-stops: list .5in;"><strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt; mso-fareast-font-family: "Times New Roman";">Vesting worksheet</span></strong><span style="font-family: "Arial","sans-serif"; font-size: 9pt; mso-fareast-font-family: "Times New Roman";"><o:p></o:p></span></li>
<li class="MsoNormal" style="line-height: 13.5pt; margin: 0in 0in 0pt; mso-list: l0 level1 lfo1; mso-margin-bottom-alt: auto; mso-margin-top-alt: auto; tab-stops: list .5in;"><strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt; mso-fareast-font-family: "Times New Roman";">Any other miscellaneous documents that your Escrow
Officer has specified </span></strong><span style="font-family: "Arial","sans-serif"; font-size: 9pt; mso-fareast-font-family: "Times New Roman";"><o:p></o:p></span></li>
</ul>
<br />
<div style="line-height: 13.5pt;">
<strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">Escrow Instructions : </span></strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">The key to any
transaction is to read and understand your escrow instructions. If you do not
understand them, you should ask your escrow officer to explain the
instructions. Also, please review your escrow instructions to ensure accuracy.</span><span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span></div>
<br />
<div style="line-height: 13.5pt;">
<strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">Confidential Statement of Information: </span></strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">In order to expedite
the completion of your transaction and ensure the successful transfer of title,
the title company requesting that you complete the “Statement of Information”
form. If any item on this form does not pertain to you, please indicate by
entering 'N/A' (Not Applicable).</span><span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span></div>
<br />
<div style="line-height: 13.5pt;">
<strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">Request for insurance information: </span></strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">Your new lender will
require proof of hazard insurance before funding your loan if insurance has not
already been set up as an impound. Please select an insurance agent or company
and provide the contact information to your Escrow Officer as soon as possible.</span><span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span></div>
<br />
<div style="line-height: 13.5pt;">
<strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">Preliminary change of ownership: </span></strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">This form must be
completed by the buyer prior to a transfer of the subject property and filed
with each conveyance in the County Recorder's office for the county where the
property is located. Please answer all questions in each section, and sign the
certificate before sending it to your Escrow Officer. This information is used
by the Tax Assessors Office to determine the tax basis for the property.
Please note that there are penalties assessed by the county for failure to
complete this form.</span><span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span></div>
<br />
<div style="line-height: 13.5pt;">
<strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">Vesting worksheet: </span></strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">After you have
determine the manner in which you wish to hold title, please complete, sign and
return this form to your Escrow Officer. Your new lender will need this
information before your loan documents are drawn.</span><span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span></div>
<br />
<div style="line-height: 13.5pt;">
<strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">Any other miscellaneous documents that your Escrow
Officer has specified : </span></strong><span style="font-family: "Arial","sans-serif"; font-size: 10.5pt;">In special circumstance, your Escrow Officer
will inform you if additional documentation is needed. Please be sure to return
all documents as quickly as possible to your Escrow Officer so that your escrow
closes smoothly.</span><span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-43893786644970180.post-30098901326124846522013-03-25T17:08:00.000-07:002013-04-10T16:25:23.978-07:00Little Known Valuation Tool for Listing a Home<br />
<div class="MsoNormal" style="margin: 0in 0in 10pt;">
<span style="font-family: Calibri;"><span style="font-size: 12pt; line-height: 115%; mso-bidi-font-family: Arial;">It is apparent that homes are selling faster in California than they were
a year ago, and even faster than they were two years ago. <span style="mso-spacerun: yes;"> </span>As a result of low inventory, the California
Association of Realtors has concluded,</span><span style="font-size: 12pt; line-height: 115%;"> "</span><span style="color: black; font-size: 12pt; line-height: 115%; mso-bidi-font-family: Arial;">homes are moving off the market faster
in January, with the median number of days it takes to sell a single-family
home decreasing to 36.6 days in January, down from 38.1 days in December and
down from 59.6 days for the same period a year ago."</span></span></div>
<div class="MsoNormal" style="margin: 0in 0in 10pt;">
<span style="font-family: Calibri;"><span style="color: black; font-size: 12pt; line-height: 115%; mso-bidi-font-family: Arial;"><o:p><span style="font-family: Times New Roman;">
</span><span style="color: black; font-size: 12pt; line-height: 115%; mso-bidi-font-family: Arial;">Nevertheless, even in a seller's housing market, it is
imperative to have a house priced to sell. One little-known research tool that
can be useful for sellers <span style="mso-spacerun: yes;"> </span>to find
information to price their home to the best of their knowledge is the Los
Angeles County Office of the Assessor Property Assessment Information System
(<a href="http://maps.assessor.lacounty.gov/mapping/viewer.asp" target="_blank">maps.assessor.lacounty.gov</a>). There you can find up-to-date information on recent
sale information, roll values, property boundary description, building description,
and when applicable, recent parcel change activity.<o:p></o:p></span></o:p></span></span></div>
<span style="font-family: Calibri;"></span><br />
<span style="font-family: Calibri;"><div class="MsoNormal" style="margin: 0in 0in 10pt;">
<span style="font-family: Times New Roman;">
</span><span style="color: black; font-size: 12pt; line-height: 115%; mso-bidi-font-family: Arial;">Furthermore, the Assessor's user-friendly website provides
the assessed land value and improvement value of the home, which can be helpful
to ascertain a more accurate valuation of the property. However, be aware that
properties that have not been on the market for a significant amount of time
will have a lower assessment value. Use information from the </span><span style="font-size: 12pt; line-height: 115%; mso-bidi-font-family: Arial;"><a href="http://maps.assessor.lacounty.gov/mapping/viewer.asp" target="_blank">PropertyAssessment information system</a><span style="color: black;"> in conjunction with
other tools at your disposal to determine property value. <o:p></o:p></span></span></div>
<div class="MsoNormal" style="margin: 0in 0in 10pt;">
<span style="font-family: Times New Roman;">
</span><span style="color: black; font-size: 12pt; line-height: 115%; mso-bidi-font-family: Arial;">Whether we are in a seller's market or a buyer's market, the
houses that are priced to sell at a fair market value will always be the houses
that make it to escrow the quickest. </span><span style="font-size: 12pt; line-height: 115%;"><o:p></o:p></span></div>
<div class="MsoNormal" style="margin: 0in 0in 10pt;">
<span style="font-family: Times New Roman;">
</span></div>
</span><br />
<div class="MsoNormal" style="margin: 0in 0in 10pt;">
<br /></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-43893786644970180.post-48419717450065679902012-09-21T11:34:00.000-07:002012-09-21T11:35:56.779-07:00The History of Escrow <br />
<div class="MsoNormal" style="margin: 0pt 0pt 12pt;">
<span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;"><span style="font-family: Arial, Helvetica, sans-serif;">In the very early days of our country,
property was transferred from the seller directly to the buyer. Often the
parties knew one another. The seller handed over the deed when the buyer paid
the money. This process worked well as long as the seller was sure the buyer’s
consideration such as cash or bank check was good, and the buyer knew the
seller’s deed was valid. However, as communities grew, more and more strangers
arrived until buyer and seller were no longer acquainted. A system was needed
to put the trust back into the transaction.<o:p></o:p></span></span></div>
<span style="font-family: Arial, Helvetica, sans-serif;"></span><br />
<div class="MsoNormal" style="margin: 0pt 0pt 12pt;">
<span style="font-family: Arial, Helvetica, sans-serif; mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;">Even before California became a state,
buyers began to hire attorneys to search the public records for proof the
seller owned the land but there were no ownership guarantees. Sellers began
giving buyers a written history of the recorded documents affecting a piece of
land, called an Abstract of Title, with an attorney’s legal opinion attached.
Abstract companies began to appear close to the courthouse to assist attorneys
with their search.</span></div>
<span style="font-family: Arial, Helvetica, sans-serif;"></span><br />
<div class="MsoNormal" style="margin: 0pt 0pt 12pt;">
<span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;"><span style="font-family: Arial, Helvetica, sans-serif;">In the 1870’s, abstract companies
began issuing a brief summary of the history of the property called a
Certificate of Title. However, the courts ruled that abstractors were not
liable if the Certificate of Title contained errors or omissions. A guarantee
or form of insurance was needed to protect consumers. In 1886, California
Title Insurance and Trust Company was incorporated; they issued their first
policy of title insurance on March 17, 1887.<o:p></o:p></span></span></div>
<span style="font-family: Arial, Helvetica, sans-serif;"></span><br />
<div class="MsoNormal" style="margin: 0pt 0pt 12pt;">
<span style="font-family: Arial, Helvetica, sans-serif;"><b><i><span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;">Reasons for Escrow:</span></i></b><span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;"> Escrow
practitioners perform a very important function, yet there is no state law
requiring all property transfers go through escrow, nor are escrow
practitioners licensed by the State of California to perform escrow duties. The
law does require certain types of transactions use an escrow, namely probate
sales, liquor license transfers, new Dealer manufactured homes and securities
or stock sales.<o:p></o:p></span></span></div>
<span style="font-family: Arial, Helvetica, sans-serif;"></span><br />
<div class="MsoNormal" style="margin: 0pt 0pt 12pt;">
<span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;"><span style="font-family: Arial, Helvetica, sans-serif;">It is recommended that all property
transfers use escrow services for the following reasons:<o:p></o:p></span></span></div>
<span style="font-family: Arial, Helvetica, sans-serif;"></span><br />
<div class="MsoNormal" style="margin: 0pt 0pt 12pt;">
<span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;"><span style="font-family: Arial, Helvetica, sans-serif;">• Escrow serves as a neutral
depository for money and documents. The escrow practitioner acts in a fiduciary
or trust capacity. The escrow practitioner does not favor any one party and
acts impartially towards all.<o:p></o:p></span></span></div>
<span style="font-family: Arial, Helvetica, sans-serif;"></span><br />
<div class="MsoNormal" style="margin: 0pt 0pt 12pt;">
<span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;"><span style="font-family: Arial, Helvetica, sans-serif;">• An escrow practitioner assures that
all conditions are satisfied before the deeds are recorded or other transfer
documents filed or distributed.<o:p></o:p></span></span></div>
<span style="font-family: Arial, Helvetica, sans-serif;"></span><br />
<div class="MsoNormal" style="margin: 0pt 0pt 12pt;">
<span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;"><span style="font-family: Arial, Helvetica, sans-serif;">• Escrow practitioners provide
expertise in escrow practices, document preparation and in understanding the
title insurance process.<o:p></o:p></span></span></div>
<span style="font-family: Arial, Helvetica, sans-serif;"></span><br />
<div class="MsoNormal" style="margin: 0pt 0pt 12pt;">
<span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;"><span style="font-family: Arial, Helvetica, sans-serif;">• Escrow provides a clear, concise
accounting of all funds involved in the escrow process.<o:p></o:p></span></span></div>
<span style="font-family: Arial, Helvetica, sans-serif;"></span><br />
<div class="MsoNormal" style="margin: 0pt 0pt 12pt;">
<span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;"><span style="font-family: Arial, Helvetica, sans-serif;">• The escrow practitioner arranges for
safe delivery of all funds and documents to their proper recipient.<o:p></o:p></span></span></div>
<span style="font-family: Arial, Helvetica, sans-serif;"></span><br />
<div class="MsoNormal" style="margin: 0pt 0pt 12pt;">
<span style="mso-bidi-font-family: Calibri; mso-bidi-theme-font: minor-latin;"><span style="font-family: Arial, Helvetica, sans-serif;">• The consumer is protected by the
secure and impartial nature of the escrow process.<o:p></o:p></span></span></div>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-43893786644970180.post-50123757713750842702012-08-23T15:27:00.000-07:002012-08-23T15:29:31.745-07:00A Step-by-Step Guide to the REO Escrow Process<br />
<table border="0" cellpadding="0" cellspacing="0" class="MsoNormalTable" style="mso-cellspacing: 0in; mso-padding-alt: 0in 0in 0in 0in; mso-yfti-tbllook: 1184; width: 514px;">
<tbody>
<tr style="mso-yfti-firstrow: yes; mso-yfti-irow: 0; mso-yfti-lastrow: yes;">
<td style="background-color: transparent; border: rgb(0, 0, 0); padding: 0in;"><div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Upon agreement to sale, Asset Manager and/or Listing Agent provides
completely executed Purchase Agreement and any Addendums/Counter Offers
(including copy of signed Residential Listing Agreement from Listing Agent),
as well as contact information for all parties to Escrow Holder.</span></div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span> </div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Escrow Holder contacts Selling Agent to obtain Buyer’s Deposit and verify
contact information (Purchase Agreement usually requires that said deposit be
made within 3 days of acceptance).<o:p></o:p></span></div>
<div style="line-height: 13.5pt;">
</div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Escrow Holder requests new Lender(s) information and/or Pre-Qualification
letter from Selling Agent.<o:p></o:p></span></div>
<div style="line-height: 13.5pt;">
</div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Escrow Hol</span><span style="font-family: "Arial","sans-serif"; font-size: 9pt;">der opens title order, requesting Preliminary Report and CC&R’S
from Title Company.</span></div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span> </div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Escrow Holder prepares Escrow Instructions and supporting documents,
distributing same to all parties.</span></div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span> </div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Upon receipt of Preliminary Report, Escrow Holder orders all applicable
documents, including HOA disclosures, to ensure that clear title can be
granted at Close of Escrow.<o:p></o:p></span></div>
<div style="line-height: 13.5pt;">
</div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Upon receipt, Escrow Holder distributes Preliminary Report, CC&R’s and
other applicable disclosures (including Termite Report) for approval.<o:p></o:p></span></div>
<div style="line-height: 13.5pt;">
</div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Escrow Holder contacts new Lender(s) for status of Loan(s), including receipt
of Credit Report, Appraisal and other required documentation. If loan(s)
is/are approved, Escrow Holder verifies when loan documents will be ordered.<o:p></o:p></span></div>
<div style="line-height: 13.5pt;">
</div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Escrow Holder contacts applicable parties if any documents are still
outstanding (ie; Receipts for Reports, Buyer’s Insurance, Statement of
Information, etc.).<o:p></o:p></span></div>
<div style="line-height: 13.5pt;">
</div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
If the Seller has authorized any repairs, Escrow Holder verifies if they have
been completed, and how they will be paid (either outside of escrow or
through escrow).<o:p></o:p></span></div>
<div style="line-height: 13.5pt;">
</div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Escrow Holder confirms receipt of Home Protection Plan or requests that the
applicable Realtor order same if it has yet to be received.<o:p></o:p></span></div>
<div style="line-height: 13.5pt;">
</div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Loan Documents are received by Escrow Holder and prepared for prompt closing.</span></div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span> </div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Escrow Holder forwards Seller’s Estimated Closing Statement to Asset Manager
for review and approval.</span></div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;"><o:p></o:p></span> </div>
<div style="line-height: 13.5pt;">
<span style="font-family: "Arial","sans-serif"; font-size: 9pt;">•
Escrow Holder makes appointment with Buyer to sign Loan Documents, advising
Buyer of the amount of money to bring to Escrow.<o:p></o:p></span></div>
</td>
</tr>
</tbody></table>
Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-43893786644970180.post-13336067914510814822012-07-31T11:53:00.000-07:002012-07-31T11:56:51.890-07:00To Probate or Not to Probate, That is the Question<table border="0" cellpadding="0" cellspacing="0" class="MsoNormalTable" style="mso-cellspacing: 0in; mso-padding-alt: 0in 0in 0in 0in; mso-yfti-tbllook: 1184; width: 514px;"><tbody>
<tr style="mso-yfti-firstrow: yes; mso-yfti-irow: 0;"><td style="background-color: transparent; border-bottom: #f0f0f0; border-left: #f0f0f0; border-right: #f0f0f0; border-top: #f0f0f0; padding-bottom: 0in; padding-left: 0in; padding-right: 0in; padding-top: 0in;"><div align="center" class="MsoNormal" style="margin: 0in 0in 0pt; text-align: center;">
<br /></div>
</td></tr>
<tr style="height: 7.5pt; mso-yfti-irow: 1;"><td style="background-color: transparent; border-bottom: #f0f0f0; border-left: #f0f0f0; border-right: #f0f0f0; border-top: #f0f0f0; height: 7.5pt; padding-bottom: 0in; padding-left: 0in; padding-right: 0in; padding-top: 0in;"><div class="MsoNormal" style="margin: 0in 0in 0pt; mso-line-height-alt: 7.5pt;">
<span style="mso-fareast-font-family: "Times New Roman";"></span></div>
</td></tr>
<tr style="mso-yfti-irow: 2; mso-yfti-lastrow: yes;"><td style="background-color: transparent; border-bottom: #f0f0f0; border-left: #f0f0f0; border-right: #f0f0f0; border-top: #f0f0f0; padding-bottom: 0in; padding-left: 0in; padding-right: 0in; padding-top: 0in;"><div style="line-height: 13.5pt;">
<span style="font-family: "Arial", "sans-serif"; font-size: 9pt;"><span style="font-family: "Helvetica Neue", Arial, Helvetica, sans-serif;">The big question is WHY someone would need to “probate” a property once someone passes away.</span></span></div>
<div style="line-height: 13.5pt;">
<br />
<span style="font-family: "Arial", "sans-serif"; font-size: 9pt;"><span style="font-family: "Helvetica Neue", Arial, Helvetica, sans-serif;">In order to sell a Decedent’s property, the heirs, if there are any, must hire an attorney that specializes in probate in order to set up the Decedent’s estate. If someone passes away with a will, it is obviously much easier on the appointed Executor or Executrix to handle that individual’s final affairs in accordance with their wishes. However, many, many people die without creating a will. In that event, the individual passes away “intestate,” or without a will and the Probate Attorney must set up the estate to have an Administrator appointed to handle the final affairs of the Decedent.<br /><br />The probate that the attorney establishes for the Decedent can address many issues in addition to real property, including assets such as stock, personal property, cash in banks, etc. If one dies intestate or without a will, then all legal heirs are located by “heir hunters” (if necessary) and the total assets of the estate are divided amongst the legal heirs, whether or not that was the intention of the Decedent.<br /><br />A common misconception is that if one doesn’t have children, it is not necessary to make out a will. However, once real property and large dollar amounts are involved, it is critical that one creates a will or a trust. Although the probate process can be timely and involved, and truly this is dependent on the heirs and who stands to inherit what, the attorney fees are absolutely statutory and are pre-established in accordance with the probate code, based on the size of the individual estate.<br /><br />There are many arguments and issues, both pro and con, in going through the probate process or setting up and establishing a trust. The main issue to remember with regard to the probate process is that it is highly regulated and scrutinized by the Court in order to keep the individual representing the estate honest and that all matters are handled according to the last wishes of the Decedent. In a situation where the Decedent has transferred all of their assets into a trust, all of the heirs are relying on the honesty and integrity of the successors trustee(s) to comply with the terms of the Decedent’s trust agreement.</span></span></div>
</td></tr>
</tbody></table>
Unknownnoreply@blogger.com4tag:blogger.com,1999:blog-43893786644970180.post-36297028688291478052012-06-14T15:31:00.000-07:002012-06-14T15:31:08.494-07:00Home Buyer and Seller Closing CostsBuying or selling a home is a euphoric experience for both of the parties involved. However, this euphoria can cool when you get to the issue of who pays closing costs. <br />
<br />
When looking to buy or sell a home, every person eventually arrives at the question of who pays closing costs on the transaction. To put it simply, both buyers and sellers typically pay some of the closing costs. However, the exact amounts paid can vary significantly from area to area and depending on what agreements the buyers and sellers come to in the process of writing and agreeing to an offer/counteroffer.<br />
<br />
As these costs frequently change from state to state and often city to city, it is important to research the area you are looking to buy or sell in and be knowledgeable regarding any laws and standards of practice for the area. By knowing what you will have to pay ahead of time, you can be prepared to cover these costs.<br />
<br />
Below are some examples of what buyers and sellers generally have to pay in Southern California:<br />
<br />
Buyers typically pay the following closing costs: fees charged for obtaining a mortgage; inspection fees; homeowner's insurance (must be prepaid for one year at closing); lender’s title insurance (if the Buyer obtains a loan) and escrow fees. <br />
<br />
Sellers' closing costs typically include: loan payoff fees; the real estate; owner’s title insurance (to protect the Buyer from any pre-existing liens or encumbrances on the property); termite repairs; cash payments in lieu of repairs to the property; home warranty; all or part of transfer taxes and escrow fees. <br />
<br />
In addition to the fees described above, there are many other charges that may apply to a particular transaction and local customs will dictate which party is expected to pay for these items.Unknownnoreply@blogger.com1tag:blogger.com,1999:blog-43893786644970180.post-60841631184298992432012-04-30T16:29:00.001-07:002012-05-03T15:03:29.822-07:00Why Does My Escrow Agent Insist the Final Deposit be Wired?<span style="font-family: Arial, Helvetica, sans-serif;">When preparing to close escrow, clients will regularly ask if it is acceptable to bring closing funds via personal check. When posed with this question, Escrow Agents should always respond that we’re unable to accept a personal check for closing, as GOOD FUNDS are required. One of the core functions of an Escrow company includes being a depository for funds required to comply with the instructions from the principals of the escrow. Thus, it is critical to obtain GOOD FUNDS. Good funds means that the check has been paid by the bank on which it is drawn and the funds are actually available for use as payment for closing costs, commissions and proceeds to the seller. </span><br />
<br />
<span style="font-family: Arial, Helvetica, sans-serif;">In California, the various laws specifically regulating Escrow Agents do not define holding or clearing times for various types of instruments. There are reasons why a deposit, including by Cashier’s Checks and ACH, may not actually pay within the timelines listed in the Federal Regulations. Escrow Agents are also occasionally the victims of fraudulent, forged or stop paid cashier’s checks.</span><br />
<br />
<span style="font-family: Arial, Helvetica, sans-serif;">Since Bank privacy policies in place today make it difficult to confirm a check has been paid; wired funds are the best source of ensuring you have GOOD FUNDS for closing because the funds are immediately clear. Wires are not without drawbacks, but until a better system comes along, an Escrow Agent and its clients are safest with a Wire Transfer for any final closing funds. By failing to follow these procedures, an escrow company is likely to have to advance funds for any dishonored deposit if the escrow has already closed; or face regulatory action, civil action, or both.</span>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-43893786644970180.post-45711563052361621722012-03-26T15:34:00.000-07:002012-03-26T15:34:07.996-07:00Why it’s important to choose your Escrow Officer and Escrow CompanyIndependent, licensed escrow companies are the first line of defense for homebuyers and property owners. Savvy real estate consumers and Realtors® know that buying or selling property doesn’t stop with finding the right buyer/client or the right investment. And yet, escrow remains one of the least understood elements of the real estate process.<br />
<br />
Licensed escrow companies are consumers’ best bet for safeguarding their funds. That’s why it’s so important to work with an Escrow Officer who has met the strict licensing requirements of the California Department of Corporations and has undergone a background check and fingerprinting by the Department of Justice.<br />
<br />
<strong>Accountability</strong><br />
<br />
Licensed escrow companies are required to complete a financial audit every year to ensure compliance with California regulations, and all licensees are subject to random, surprise examinations by the Department of Corporations.<br />
<br />
<strong>Security</strong><br />
<br />
The Department of Corporations scrupulously regulates licensed escrow companies. Each licensee is required by law to be a member of the Escrow Agents’ Fidelity Corporation, which provides fidelity coverage for member trust accounts in the amount of $5 million. This fidelity bond guarantees that, in the event of theft of trust accounts, consumer funds are protected.<br />
<br />
<strong>Safety</strong><br />
<br />
All employees must submit to California Department of Justice fingerprinting and criminal background checks.<br />
<br />
You have the right to select your own Escrow Officer.<br />
<br />
That’s right, smart consumers can help in the selection of their Escrow Officer by investigating those companies themselves rather than leaving this important decision solely to their Realtor® or Lending Institution.<br />
<br />
Here’s a checklist to help you choose the right Escrow Officer for your real estate purchase:<br />
<br />
Ask your Realtor® to make three recommendations for both escrow service and title insurance, and ask why the agent likes these companies.<br />
<br />
For escrow, determine whether a company is truly acting as a neutral party, or is under the control of<br />
a Real Estate broker or Mortgage broker. <br />
<br />
Remember that price is not the only consideration, attention to your specific needs and good service can, and in most cases, should be more important.<br />
<br />
Contact the state agency that regulates a company to determine if there are any pending complaints or disciplinary actions.Peak Corporate Networkhttp://www.blogger.com/profile/06556302322163984634noreply@blogger.com0tag:blogger.com,1999:blog-43893786644970180.post-24787818227866036622011-08-12T16:14:00.000-07:002011-08-17T16:04:17.025-07:00Life of an Escrow: Part OneThis is the first in a series explaining the escrow process and how a real estate transaction works once the Buyer and Seller have come to terms on a purchase agreement.
<br />
<br />An escrow begins the moment an Escrow Company receives a fully executed purchase agreement and earnest money deposit. This process is the culmination of a series of events that bring Buyer and Seller together to transfer ownership of a home, commercial building, business or many other types of transactions.
<br />
<br />For the purposes of this discussion, we will use a traditional residential sale to describe the Life of an Escrow.
<br />
<br />As mentioned above, escrow begins when a fully executed purchase agreement and earnest money deposit are delivered to escrow. <a href="http://escrowofthewest.blogspot.com/2011/07/what-is-electronic-signature.html">With today’s technology</a>, this can be within moments of pen hitting paper on the purchase agreement, but the process typically begins the following business day.
<br />
<br />After receipt of the agreement and deposit, the Escrow Holder will review all of the paperwork, taking special care to note the terms of the transaction, the vendors to be used for inspections and other issues that will need to be addressed before escrow is closed. Following this review, Escrow Instructions will be prepared and issued with other supporting documents that are required and specific to the transaction.
<br />
<br />Simultaneously with the issuance of the Escrow Instructions, the Escrow Holder will contact the Title Company chosen by Buyer and Seller and request that a Preliminary Report be prepared. This Report will disclose to all parties the various liens and encumbrances that are recorded against the property in question. Prior to close of escrow, any items specific to the Seller will need to be cleared by the Escrow Officer, who will obtain the proper documentation to determine what monies are owed or what documents must be prepared to remove these “Seller specific” items.
<br />
<br />These preliminary steps are the foundation of a complex series of events that must take place prior to the close of escrow, but as the neutral third party to the transaction, your Escrow Holder will manage the transaction and guide everyone to that goal.
<br />
<br />Stay tuned for part two of this series where we'll discuss the processing of an escrow, including how the Escrow Holder obtains the documentation mentioned above.
<br />Unknownnoreply@blogger.com1tag:blogger.com,1999:blog-43893786644970180.post-22531084789480172422011-07-22T13:51:00.000-07:002011-07-22T13:51:18.331-07:00What is an Electronic Signature?<div><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEimTzJg2v5igToQII8SccfGYTAbxDLK2H_ehTH3VWFzfcQc27QgKzG-wzhUculr9KuszE6xUQVHhWFHlHXFiHVgAdh6K1xp9hP5jsGNuX0FBdNC_CfEiwXLK2mU60e1GXxdJr84aZWCOw/s1600/Electronic-signature1%255B1%255D.jpg"><img alt="" border="0" id="BLOGGER_PHOTO_ID_5629326665250499394" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEimTzJg2v5igToQII8SccfGYTAbxDLK2H_ehTH3VWFzfcQc27QgKzG-wzhUculr9KuszE6xUQVHhWFHlHXFiHVgAdh6K1xp9hP5jsGNuX0FBdNC_CfEiwXLK2mU60e1GXxdJr84aZWCOw/s200/Electronic-signature1%255B1%255D.jpg" style="cursor: hand; float: left; height: 193px; margin: 0px 10px 10px 0px; width: 200px;" /></a><br />
<br />
<br />
Technology has taken over the world and improved every industry, including the real estate industry. With technology, the real estate industry is constantly becoming innovative and making processes simpler and more efficient. The latest form of technology that has helped make the real estate industry more efficient is electronic signatures (E-signatures). The electronic signature service streamlines workflows and reduces the time it takes to complete transactions. On average, 50% of forms are completed in less than 8 hours and 97.4% are completed in less than 48 hours. And electronic signatures can easily handle last minute revisions without delaying a sale.<br />
<br />
An electronic signature is any paperless and legally recognized means of entering into a contract, including electronic symbols, sounds, or processes logically associated with a contract. They can include agreements made by email, facsimile or entering your personal identification number into an ATM. Many people use electronic signatures on a daily basis without realizing it. Paying a bill online or purchasing a product through a website are simple daily examples of electronic signatures.<br />
<br />
<strong>Benefits of using electronic signatures in the Real Estate Industry:</strong><br />
<br />
<strong>Safe and Reliable</strong></div><br />
<div>Electronic signatures include an encrypted code ensuring its security as well as its legality and enforceability. After the signing is completed, the electronic signature database digitally stores all documents for quick and easy access when needed.<br />
<br />
<strong>Save Time, Save Money and Go Green!</strong></div><br />
<div>With electronic signatures, the need for paper-based contracts is totally eliminated. Documents can be signed online from anywhere and at any time you have computer access thereby saving the time, travel and money associated with chasing down volumes of paper.<br />
<br />
As part of Escrow of the West’s ongoing commitment to provide a level of service unparalleled in the industry, we are pleased to introduce the availability of electronic signatures to our delivery options. Always on the cutting edge of technology, Escrow of the West has teamed with DocuSign®, the market leader and global standard for electronic signatures to offer a complete web-based eSign solution to help our clients close business more efficiently and safely. Our technology experts can show you everything that you need to know about DocuSign®. Give us a call for more information.</div>Unknownnoreply@blogger.com3