Location: California
Submitted 06/15/12 08:52 PM

Q. can you open a second escrow as a back up offer contingent upon the cancellation of the first escrow.

 

Answer #1
Submitted 06/16/12 05:11 AM
Karen Crowson, ABR, SRES, Livermore, CA (Alain Pinel Realtors, Pleasanton, CA): Agent in Livermore, CA Karen Crowson, ABR, SRES, Livermore, CA (Alain Pinel Realtors, Pleasanton, CA)
Agent
Livermore, CA

Contact Me

A. Not sure I understand your question. Escrow usually implies there is a ratified contract. A back-up offer would imply that someone else's offer is in contract and yours is waiting in second position if that person cancels. If instead you mean that you are waiting for a short sale approval on a purchase for instance, and you want to write an offer on a second property in case you don't get the first one? Yes, if you can afford to buy both. Or if you disclose to the seller of property number two that you have done so. A contract means you must act in good faith.

Answer #2
Submitted 06/19/12 03:55 PM
Victoria Winters (Caravelle Realty Group): Agent in Laguna Beach, CA Victoria Winters (Caravelle Realty Group)
Agent
Laguna Beach, CA

Contact Me

A.

You can submit a back-up offer to purchase the property.  Escrow is opened when a buyer and seller have executed an agreement and are proceeding with closing the sale.  Back-up offers are sometimes held by the seller in case the current escrow does not close.  In this case, there is no opportunity to open a second escrow on a property that is already in escrow.

Escrow companies act as neutral third party to collect, hold funds and documents from both buyer and seller while the sale transaction takes place. 

If the escrow closes, your back-up offer cannot be considered.  I recommend consulting with your agent regarding the property in question.

 

Answer #3
Submitted 07/01/12 08:11 PM
Lloyd Binen Silicon Valley R since 1976;408-565-8177 (Certified Realty Services): Agent in Saratoga, CA Lloyd Binen Silicon Valley R since 1976;408-565-8177 (Certified Realty Services)
Agent
Saratoga, CA

Contact Me

A.

Normally a second escrow wouldn't be opened until the primary offer is canceled.  If you want a second escrow you do that the way the first escrow is opened--call an escrow officer at a different company.  But why have an escrow company go to the expense of that until the first transaction falls apart?
Sponsor

Disclaimer: ActiveRain does not evaluate or guarantee the accuracy of any Ask a Real Estate Professional responses. All questions and responses are provided by ActiveRain Real Estate Network community members. You agree that any use you make of such responses is at your own risk and that ActiveRain is not responsible for any losses resulting from your reliance on any Ask a Real Estate Professional responses. Ask a Real Estate Professional responses should never be used as a substitute for advice from a qualified professional. By submitting a question to Ask a Real Estate Professional, you acknowledge that ActiveRain is not responsible for any response you receive or do not receive, and you agree to hold ActiveRain harmless from any loss, harm, injury or damage resulting from or arising out of your submission of the question or your use of or reliance on any response thereto.