The Role of an Escrow Officer

What the Escrow Officer Does

The escrow officer does…

  • serve as the communication link to all parties in the transaction.
  • prepare escrow instructions.
  • request a preliminary title search to determine the basis upon which a title insurance policy may be issued.
  • request a beneficiary’s statement or pay-off demand relating to existing financing.
  • comply with lender’s requirements, specified in escrow agreement.
  • receive purchase funds from the buyer.
  • prepare or secure the deed or other documents related to escrow.
  • prorate taxes, interest, insurance and rents according to instructions.
  • secure releases of all contingencies or other conditions as imposed on any particular escrow.
  • record deeds and any other documents as instructed.
  • request issuance of the title insurance policy.
  • close escrow when all of the instructions of buyer and seller have been carried out.
  • disburse funds as authorized by instructions, including charges for title insurance, recording fees, real estate commissions and loan payoffs.
  • prepare final statements for the parties accounting for the disposition of all funds deposited in escrow.

The escrow officer does not…

  • offer legal advice.
  • negotiate the transaction.
  • offer investment advice.

Reference: https://www.ceaescrow.org/

Leave a Reply