Builds & Buys

Understand the Escrow Process — Escrow is a third-party service that ensures all conditions of the property sale are met before the transaction is completed.

Why It Matters: Escrow makes sure both the buyer’s payment and the seller’s property title are handled according to the sale agreement.

Helpful Resource: Escrow Definition & Process
Who to Talk To: Escrow company or real estate attorney for specific requirements

Conduct a Title Search and Obtain Title Insurance — The title search identifies legal claims or liens on the property, while title insurance protects you after the transfer.

Why It Matters: Ensures the seller legally owns the property and no hidden claims (debts or disputes) exist.

Helpful Resource: First American: Title Insurance
Who to Talk To: A title company for the search and to secure title insurance

Verify Liens or Encumbrances on the Property — Make sure no outstanding liens or encumbrances prevent a clean transfer.

Why It Matters: Unpaid taxes, mortgages, or judgments must be cleared before you can legally own the property.

Helpful Resource: Real Estate Lien Release Info
Who to Talk To: Title company or real estate attorney to resolve liens

Review the Preliminary Title Report — A preliminary title report shows the property’s title history and any issues that might arise.

Why It Matters: Identifies red flags early, so you can address them before closing.

Helpful Resource: How to Read a Title Report
Who to Talk To: Your title company or attorney to interpret the findings

Complete the Escrow and Title Transfer Process — After all conditions are met, escrow releases funds and the property title transfers to the buyer.

Why It Matters: Finalizes the sale, ensuring legal ownership is handed over properly with all terms satisfied.

Helpful Resource: Bankrate: Understanding Escrow
Who to Talk To: Escrow officer or real estate lawyer for correct procedures