Escrow, Inspections & Appraisals
Once your offer has been accepted, the home officially moves into escrow — an exciting and important phase of the buying process. This is where the details come together: deposits are made, inspections take place, and the final loan and appraisal are completed before closing day.
Here’s what to expect, step by step.
The Initial Agreement and Deposit
After the seller accepts your offer, a formal purchase agreement is signed, and your earnest money deposit is placed into escrow. This shows good faith and secures the property while all remaining steps are completed.
A few key tips to keep the process running smoothly:
• Keep everything in writing. It’s important that all agreements — including counteroffers and addendums — are properly documented and signed by both parties. I’ll help you manage and organize every document so nothing is overlooked.
• Stick to the timeline. Each stage of the transaction has specific deadlines for deposits, inspections, financing, and contingencies. I’ll help you stay on schedule so everything moves forward without delay.
The Closing Agent
A title company or closing attorney will act as the neutral third party responsible for overseeing the transaction. The closing agent:
• Holds your earnest money in escrow
• Reviews the property’s title to ensure it’s clear of liens or ownership disputes
• Records any new legal documents or encumbrances properly
• Coordinates with the lender, insurance company, and association (if applicable)
Some properties may have restrictions, easements, or zoning limitations — I’ll make sure you’re aware of any that apply to your purchase.
How to Hold Title
Before closing, you’ll decide how you want to hold title to the property — individually, jointly, in a trust, or through another entity. Because each method has legal and tax implications, it’s a good idea to consult your attorney or financial advisor to determine which option best fits your situation.
Home Inspections
Inspections are one of the most valuable parts of the buying process. Within your contract’s inspection period, you’ll hire a licensed inspector to evaluate the property’s condition. You may also choose to bring in specialists for certain areas like roofing, plumbing, HVAC, or structural integrity.
If you’re purchasing commercial real estate, your lender may require an environmental inspection as well. I can connect you with trusted professionals for every type of inspection.
Once inspections are complete, one of two things usually happens:
Everything checks out, and we move forward by removing contingencies.
The inspection reveals issues that may require repair requests or a renegotiation of the purchase price.
Either way, I’ll guide you through the process and help you make informed decisions.
Appraisal and Financing
Your lender will order an appraisal to confirm the property’s value and ensure the home supports the loan amount. The appraiser — an independent professional — evaluates the home based on its size, location, features, and comparable recent sales.
Throughout this stage, it’s important to stay in close contact with your lender and promptly provide any documents they request. As we approach closing, I’ll work with your lender to verify that everything is on track for a timely, stress-free settlement.
Association Approval (If Applicable)
If your new home is part of a homeowners or condo association, approval may be required before closing. We’ll make sure you receive all the necessary documents — including rules, fees, and applications — as soon as your offer is accepted.
Submit your paperwork and schedule any required interviews as early as possible to avoid delays. Your closing agent will collect the association’s approval letter so it can be officially recorded with your deed.
Property Insurance
Lenders require proof of insurance before closing, but even if you’re paying cash, protecting your investment is essential.
You can often save money and increase coverage by shopping around and asking about available discounts.
A few smart tips:
• Consider a higher deductible. Increasing your deductible by a few hundred dollars can significantly lower your annual premium.
• Ask about safety discounts. Homes with security systems, storm shutters, smoke detectors, and fire-resistant materials often qualify for reduced rates.
• Insure the structure, not the land. Make sure your coverage focuses on rebuilding costs, not land value.
I can also recommend experienced insurance agents who specialize in homeowners, condo, or investment property coverage.
Staying on Track
The escrow process has many moving parts, but you won’t go through it alone. I’ll keep you updated at every step — coordinating with lenders, title companies, inspectors, and sellers — to make sure everything comes together smoothly and on time.
When all is said and done, you’ll have the keys to your new home and the peace of mind that every detail was handled properly.