THE ESCROW PROCESS

• ​INITIATING THE TRANSACTION

  The Buyer and Seller sign the purchase and sale agreement. After the agreement is signed, the buyer would place a deposit for the property.

   

  The buyer's or* seller's agent would proceed to open escrow with Madison Capital Escrow, Inc.

   

   

  

• ​ESCROW BEGINS SERVICE

   Madison Capital Escrow, Inc. acts as the “neutral” third party or “stakeholder”; nominated to hold the transaction funds until the purchaser receives appropriate assurance that the property had been transferred.

   

  When starting work on a transaction, escrow begins with:

   

  • ORDERING A PRELIMINARY REPORT FROM TITLE COMPANY

  • PREPARING INSTRUCTIONS &  DOCUMENTS

  • REVIEWING PRELIMINARY REPORT

  • REQUESTING DEMANDS FOR PAYOFF

  • REVIEWING DEMANDS & DOCUMENTS

   

   

  

• ​REVIEWING & RETURNING OPENING PACKAGES

  Both buyer and seller will recieve escrow instructions and opening packages which will have to be reviewed, signed and returned to continue the transaction.

• ​ESCROW PROCESSING

  Once all pertinent documents are recieved, Madison Capital Escrow, Inc. proceeds with:

   

  • FORWARDING THE “STATEMENT OF IDENTITY” TO TITLE OFFICER TO CLEAR TITLE UNDER GENERAL INDEX

  • CALLING THE LENDER TO FIND OUT STATUS & CONDITIONS

  • CONFIRMING LENDER APPROVAL; CHECK TERMS; ORDER LOAN DOCUMENTS

  • REVIEWS FILE TO MAKE SURE ALL CONDITIONS HAVE BEEN MET INCLUDING: TERMITE REPORTS, NEW

     INSURANCE, HOMEOWNER’S ASSOCIATION INFORMATION & DATA ON LIENS ARE COMPLETE.  ADDITIONAL

     DOCUMENTS COULD BE PROVIDED IN THIS STAGE ONLY IF REQUIRED.

  • RECEIVES LOAN DOCUMENTS

• ​FILE REVIEW

  BUYER’S LOAN DOCUMENTS ARE SIGNED & RETURNED TO Madison Capital Escrow, Inc. WITH THE REMAINDER OF THE FUNDS.

   

  MADISON CAPITAL ESCROW, INC. THEN,

  • REVIEWS BUYER & SELLER FILE, VERIFYING THAT DOCUMENTS ARE PROPERLY EXUCUTED AND NOTARIZED,

     THAT FUNDS ARE GOOD & THAT ALL CONDITIONS HAVE BEEN MET.

  • REQUESTS FUNDS FROM THE LENDER

   

    Madison Capital Escrow, Inc. & TITLE COMPANY REVIEW THE   TITLE INSURANCE REQUIREMENTS

• ​FINALIZING - FUND DISBURSEMENT & CLOSING

  Madison Capital Escrow, Inc. recieves funds for disbursement and handles final steps toward closing the transaction:

   

  DEED IS RECORDED

  STATEMENTS ARE PREPARED

  1099 REPORT IS PREPARED

  FUNDS ARE PREPARED & DISBURSED.

   

  FILE IS CLOSED.

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