The technical definition of an escrow is, "A transaction where one party engages in the sale, transfer, or lease of real or personal property with another person who delivers a written instrument, money or other items of value to a neutral third person, called an escrow agent." An escrow agent serves as an impartial holding area. Duties includes receiving funds and documents necessary to comply with those instructions, completing or obtaining required forms, and handling final delivery of all items to the proper parties upon successful completion of the escrow.
The escrow agent must be provided with the necessary information to close the transaction. This may include loan documents, tax statements, fire and other insurance policies, terms of sale, any financing obtained by buyer, and requests for various services to be paid out of the escrow funds. We obtain signatures from all parties, collect all outstanding funds and fees such as title insurance premiums, real estate commissions, inspection charges, etc. We then transfer title to the property under the terms of the escrow instructions and the appropriate title insurance policies are issued.