Congratulations - once your offer is accepted, you are officially on your way to owning your new home. The time between contract and closing is often referred to as the escrow period. During this time, important steps must be completed before the property can officially transfer from the seller to you. Your escrow deposit, also called an earnest money deposit, is typically delivered shortly after the contract is signed. This money is usually held by a title company, attorney, or broker escrow account, depending on the terms of the contract. If the sale closes, your deposit is applied toward your purchase. If the sale does not close, what happens to the deposit depends on the terms of the contract and the reason the transaction did not move forward. During the escrow period, several important items are usually handled, including:

Home Inspection

The inspection is typically completed early in the process. This gives you the opportunity to better understand the condition of the home and address any concerns within the time allowed in the contract.

Financing and Loan Approval

If you are financing the purchase, your lender will continue processing your loan, reviewing documents, ordering the appraisal, and working toward final approval.

Title Review

The title company or closing attorney will review the property’s title to help ensure ownership can be properly transferred and that there are no unresolved title issues that need to be addressed before closing.

Homeowner’s Insurance

You will need to secure homeowner’s insurance before closing. Depending on the property, flood insurance or additional coverage may also be needed, so it is best to begin this process early.

Utilities and Moving Plans

As you get closer to closing, you will want to arrange utilities, schedule movers, and prepare for your transition into the home.

Final Walk-Through

Before closing, we will schedule a final walk-through so you can confirm the property is in the expected condition and that any agreed-upon items are still in place. Throughout this process, we help coordinate with your lender, title company, inspectors, insurance professionals, and the seller’s side to keep things moving as smoothly as possible. Once everything is completed and the closing takes place, ownership transfers to you and the keys are yours.