What Allan Erdy Escrow does... When and Why!
OPEN ESCROW
A. Your transaction is assigned an Escrow Number and the Escrow Instructions are prepared with the BUYER’S and SELLER'S opening escrow packages sent as directed. Copies are forwarded to the Real Estate Agent(s).
B. Escrow Officer contacts the Title Company to open the Title Order and requests a Preliminary Title Report along with copies of any C.C.& R.’s and other documents of record, as required.
WEEK ONE
A. Escrow packages are to be returned to Allan Erdy Escrow.
B. Buyer’s initial deposit is deposited into the Allan Erdy Escrow Trust Account.
C. Preliminary Title Report and requested documents should arrive from the Title Company.
D. Escrow Officer forwards the Preliminary Title Report and related documents to the Buyer for approval, with copies to the Real Estate Agent(s).
E. Property Disclosure N.H.D. Report should arrive (usually ordered by Real Estate Agent).
F. Allan Erdy Escrow sends the Property Disclosure Report to the Buyer with applicable copies to the Seller and the Real Estate Agent(s) for signatures acknowledging receipt.
G. If the property is a Condominium/Townhouse, all Homeowner’s Association (HOA) documentation (C.C.& R.s, By-Laws, Articles of Incorporation, Budget, Reserve Study, Minutes, etc.) must also be sent to the Buyer for approval. Allan Erdy Escrow will request said Statement regarding status of the HOA dues.
H. Allan Erdy Escrow will order the Residential Property Records Report (9a) from the Department of Building and Safety (City of Los Angeles only)
I. Allan Erdy Escrow will provide the Buyer’s new Lender with a certified copy of the Escrow Instructions and amendments thereto, a copy of the Buyer’s deposit in escrow and the Preliminary Title Report.
J. Allan Erdy Escrow will review any letters from the Buyer regarding results of inspections to the Property and amend Escrow Instructions accordingly.
K. Assumption of an existing loan – Allan Erdy Escrow will order a Beneficiary Statement from the Existing Lender along with a request for an assumption package, as required..
L. Allan Erdy Escrow will forward “Statements of Information” to the Title Company for their review.
WEEK TWO
A. Allan Erdy Escrow will order Payoff Statements (Demands) on the Seller’s existing loans, judgments or liens.
B. Allan Erdy Escrow will check on the Buyer’s “New Loan Status” and advise the Real Estate Agent(s) of the results of the inquiry.
C. The Termite Inspection Report should arrive. Allan Erdy Escrow will send a copy to the Buyer for acknowledgment and copies to the Real Estate Agent(s).
D. Allan Erdy Escrow will contact the Buyer’s Fire Insurance Agent to provide information as needed and contact them when we are ready to order the policy.
E. Allan Erdy Escrow will check on the Home Protection Policy and verify that the coverage and cost are as agreed upon in the Escrow Instructions.
WEEK THREE
A. Allan Erdy Escrow will check on the Buyer’s “Loan Status” and “Loan Documents”.
B. Allan Erdy Escrow will check on the Retrofitting/Water Conservation Certificate and Invoice and verify that work has been ordered, if applicable.
C. Allan Erdy Escrow will verify that Termite Work has been completed, if applicable, and obtain a copy of the Termite Completion to provide to the Buyer.
WEEK FOUR
A. Buyer’s Loan Documents are ready. Upon receipt, Allan Erdy Escrow will review the loan documents to verify accuracy and review and collect any additional requirements from the Lender. We will then complete the Estimated Closing Statement and HUD for the Buyer using actual Lender costs detailed in the Loan Documents.
B. Allan Erdy Escrow will contact the Buyer’s Insurance Agent and provide the effective date and mortgagee loss payable information detailed in the loan documents.
C. Allan Erdy Escrow will contact the Buyer to schedule an appointment to sign the Loan Documents and advise them the amount of funds needed to close the escrow.
D. Residential Property Records Report (9a) should be back from the City of Los Angeles. Allan Erdy Escrow will prepare a copy for the Buyer to acknowledge receipt and provide the Buyer with the original report when signing the Loan Documents.
E. The Buyer signs their Loan Documents and arranges the wiring of funds to Allan Erdy Escrow.
F. Loan Documents are packaged in accordance with the Lender’s Instructions and returned to the Lender.
G. Any and all documents required for recording, including the Grant Deed and Preliminary Change of Ownership Report (PCOR), are sent to the Title Company.
H. Allan Erdy Escrow will contact the Lender to verify they received the Executed Loan Documents with all requested items and verify their ability to fund the loan as requested for closing.
I. The Lender will then fund the loan and provide Allan Erdy Escrow with the funding figures.
J. Allan Erdy Escrow will contact the Title Company, advise them of the funding and authorize the recording for the following day.
K. On the Day of the closing, Allan Erdy Escrow awaits a phone call from the Title Company to confirm the recording which is the actual close of escrow. Upon verification, the Title Company provides the final title and payoff charges.
L. Allan Erdy Escrow will happily call the Buyer, Seller and Real Estate Agent(s) and advise them that the escrow is now closed!
M. Using the final figures provided by the Title Company, Allan Erdy Escrow will balance the Escrow File and issue Checks. The Closing Statements will be prepared and Letters completed for all parties of the transaction.
N. Sometime after the close of escrow, the Title Company will provide the Title Insurance Policy. Upon receipt, Allan Erdy Escrow will forward the Title Insurance Policy to the Buyer and then the escrow file will be sent to storage.
ON TO THE NEXT ESCROW!
Life of a 30-Day Escrow
