WHAT EACH PARTY DOES IN ESCROW
The Seller:

* Deposits the executed deed to the buyer with the escrow holder.
* Deposits evidence of pest inspection and any required repair work.
* Deposits other required documents such as tax receipts, addresses of mortgage holders, insurance policies, equipment warranties or home warranty contracts, etc.

The Buyer:

* Deposits the funds required, in addition to any borrowed funds, to pay the purchase price with the escrow holder
* Deposits funds sufficient for home and title insurance .
* Arranges for any borrowed funds to be delivered to the escrow holder.
* Deposits any deed of trust or mortgages necessary to secure loans.
* Approves any inspection reports, the Preliminary Report for title insurance, etc., called for by the purchase and sale agreements.
* Fulfills any other conditions specified in the escrow instructions.

The Lender (if applicable):

* Deposits proceeds of the loan to the purchaser.
* Directs the escrow holder on the conditions under which the loan funds may be used.

The Escrow Holder:

* Opens the order for title insurance .
* Obtains approvals from the buyer on the Preliminary Report, pest and other inspections.
* Receives funds from the buyer and/or any lender.
* Prorates insurance, taxes, rents, etc.
* Disburses funds for title insurance, recording fees, real estate commissions, lien clearance, etc.
* Prepares a final statement for each party, indicating amounts to be disbursed for services and any further amounts necessary to close escrow.
* Records deed and loan documents, delivers the deed to the buyer, loan documents to the lender and funds to the seller, closing the escrow.

CLOSING THE ESCROW AND DIVISION OF CHARGES

Closing the Escrow

Once all the terms and conditions of the instructions of both parties have been fulfilled, and all closing conditions satisfied, the escrow is closed and the safe and accurate transfer of property and money has been accomplished.

Division of Charges

The method of dividing the charges for the services performed through escrow or as a result of escrow varies from place to place. The fees and service charges to be divided might include, for example, the title insurance policy premium, escrow fee, any transfer taxes, recordation fees and cost in connection with any loan being obtained. Unless there is some special agreement between the buyer and seller as to how these charges are to be paid, local custom will generally be followed in drafting the instructions to the escrow holder as to how they are to be divided.