What do Title & Escrow Comanies Do?

A title and escrow company is a neutral third party that plays an important role in the closing process of a real estate transaction. The main function of a title and escrow company is to facilitate the transfer of ownership of a property from the seller to the buyer. They do this by performing a variety of tasks, including:

1. Conducting a title search:

The title and escrow company will review public records to ensure that the seller has the legal right to sell the property and that there are no outstanding liens or claims on the property.

2. Preparing closing documents:

The title and escrow company will prepare the necessary documents for the closing, including the deed, mortgage, and other legal documents.

3. Holding the funds:

During the closing process, the buyer will typically pay the purchase price and any closing costs to the title and escrow company. The title and escrow company will hold these funds in an escrow account until the closing is complete and the ownership of the property is transferred to the buyer.

4. Disbursing funds:

After the closing is complete, the title and escrow company will disburse the funds to the appropriate parties, including paying off any outstanding mortgages or liens on the property and paying the seller the balance of the purchase price.

In some states, an attorney can also perform the tasks of a title and escrow company. In these cases, the attorney will handle the title search, prepare the closing documents, and hold and disburse the funds as part of the closing process.

Title & Escrow Companies in Miami:
Sunny Title
Allied Title