California Escrow Rule & Regulations Part Two
In case you missed my first post about this subject, I will put a link to it at the bottom of my post in case you want to read it.
All Escrow Providers must be licensed by the California Corporations Commissioner. The Escrow Providers must be a corporations and in the business of receiving escrows for deposit and or delivery.
There are a few entities that do not need to be licensed to perform escrow services. The most well know one are attorneys with a client relationship to a principal of a real estate transaction, banks, trust companies, insurance companies or savings and loan companies. Also Title companies or brokers performing escrow services for a real estate client are exempt as well.
Let me also mention about Escrow Instructions:
Keep in mind an Escrow Officer can only process an escrow transaction in compliance with the purchase agreement or the Escrow Instructions. Needless to say these instructions must be fully signed and mutually agreed upon by both buyer and seller. Most agents are aware of this, since the Escrow officer requests the entire Purchase Agreement signed by both parties as well as all Counter Offer signed by both parties. Without that there is not a valid Purchase Agreement.
This is when buyer’s agents and sellers agents are scrambling to get both parties to sign and initial each and every page of the agreement. Sometimes Sellers do not understand what is the rush of getting all these documents signed after all the Buyer accepted the last Counter Offer... Needless to say lack of clarification and a lackadaisical attitude could derail the agreement....
Escrow Rules & Regulations in CA part one
If you are considering buying or selling a home, a luxury home, luxury investment real estate, luxury vacation homes, or luxury beach properties in Southern California, Los Angeles, Century City, Westwood, West Hollywood, Beverly Hills, Marina Del Rey, Venice or Malibu, feel free to contact me at310.486.1002 (m) or homes@endrebarath.com or visit one of my websites at http://www.endrebarath.com. I am a Pet Friendly Realtor and I contribute a portion of my commission to local animal rescue organizations.
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