Realty Times November 8, 2002

A Guide To Closing Without Fear
by Broderick Perkins

Escrow is a process that provides for a fair and equitable transfer of real estate property from one person to another.

The process assures that the lender releases the home purchase funds at or about the same time the deed is recorded to reflect new ownership. To facilitate that goal, escrow provides the means for depositing, with a neutral third party, funds, documents and instructions necessary to complete the transfer.

Because the real estate transaction involves large sums of money and reams of documentation, escrow is not always a predestined, step-by-step process, but can become a confusing end game of details, nit picking and overlapping procedures.

Requiring special preparation, attention to detail, and desire from both sides to close the deal, escrow is perhaps the most complicated part of what's likely the most emotionally trying and intricate transaction you'll ever complete.

And now you know why you need "The Complete Guide To Your Real Estate Closing," (McGraw-Hill, $1995) by escrow expert Sandy Gadow. Gadow is also a mortgage broker and publisher of Escrowhelp.com.

Her new book offers the information you need to survive the escrow gauntlet from the moment you open to the time you heave a big sign of relief at closing.

Mortgage brokers, real estate agents, appraisers and other real estate professionals only know the portion of the escrow and title process with which they are most involved, but you need to be familiar with the entire process. After all, it involves what's likely the most expensive transaction you'll ever complete and what's likely to be a large chunk of your net worth.

When you finish "Your Real Estate Closing," you'll know the professionals you'll need in your corner, you'll have an intimate knowledge of the documents you'll be expected to sign, you'll know how escrow instructions are drafted, you'll be equipped to handle delays, the shroud of mystery about title insurance will be lifted, and you'll be a lot less jittery about the process.

The 278-page guide is the latest version of a book previously titled "All About Escrow and Real Estate Closings," which completed six printings and sold more than 60,000 copies.

Whittling esoteric escrow information down to a step-by-step process, the book includes:

  • A financing and credit primer and an advanced discussion on mortgage loans.

  • A closing checklist that walks you through the closing process ahead of time to prepare you in advance.

  • Lessons on holding title. How you hold title can have significant tax consequences.

  • An in-depth look at all closing statements and forms and how they work with explicit explanations of the fine print.

  • Sample worksheets teach you about Power of Attorney, Quitclaim Deeds, Sample worksheets included. Sample forms such as Power of Attorney and Quitclaim Deed, Assignment of Deed of Trust and others.

  • A state-by-state appendix to escrow procedures, a glossary of escrow terms, and a directory of escrow and closing resources on the Web.

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