Can a Title Company Conduct Escrow?
One of the questions people ask me frequently is, “Can a title company conduct escrow?” And, you know, first of all, we have to define what the word “escrow” means. An escrow is usually…it really means two things. One is an escrow deposit that you put up, an earnest money deposit when you’re buying real estate.
The Process Of Escrow
But escrow is also the process by which all the funds are collected for a real estate closing and then dispersed by the title company. And so in almost all the jurisdictions in the United States, the title company will be the escrow agent. There are some anomalies where sometimes you can have a separate title company from the escrow agent, but that’s typically only in California. In virtually all other states, the title company will always be the escrow agent.
And the escrow agent is the one who’s responsible for taking the funds that come in for the closing, maybe an initial deposit. Then maybe the bank money that’s being used to buy the property, and then some final funds that are being brought in by the buyer to close a transaction, those funds then have to be dispersed, and they go to all different places. They go to the tax collector, they go to the prior mortgages, they go to the realtors, and of course, they also end up going to the seller.
And so the title company, which in acting as escrow agent, makes sure that those funds are dispersed properly.
Watch Full Video: “Can a title company conduct escrow?” https://youtu.be/0JBi6mciZpE
Original Source: https://westontitle.com/weston-title-news/can-a-title-company-conduct-escrow/
Weston Title & Escrow
2500 Weston Rd #404
Fort Lauderdale, FL 33331
Weston Title & Escrow is a trusted South Florida title company, serving Broward, Miami-Dade and Palm Beach Counties as well as the entire State of Florida since 1994. Owned and operated by attorneys Roy Oppenheim and Ellen Pilelsky, the founding partners of Oppenheim Law, Weston Title provides highly personalized services in the areas of real estate closings, title insurance, title searches and escrow services.