What is an escrow company?
They are the neutral 3rd party which will close the transaction for the Buyer and Seller. Their job is to transfer funds from the Buyer’s lender to the Seller and to transfer the title from the Seller to the Buyer. They will record the deed at the county courthouse.
In this state an Escrow may be closed by an attorney, Title company, or Escrow company by an LPO, Limited Practice Officer.
What is an earnest money?
It is the check that you write when you make a written offer on the condominium you wish to purchase. It is typically around 3% of the purchase price and is part of your down payment. The Earnest money check should be made out to the real estate company or the Escrow or closing agent. If you default on your purchase/sale agreement after all your contigencies have been removed, the seller may keep the earnest money as damages.
What are the typical contingencies in a Purchase and Sale Agreement?
a. Subject to inspection
b. Subject to Review of Form 17
c. Subject to approval of resale certificate or public offering statement
d. Subject to appraisal
e. Subject to financing
Do I need an attorney to review my Purchase and Sale Agreement?
That is up to you. Real estate agents are licensed to complete the forms that have been reviewed and approved by Attorneys. The agent is held accountable to the level of expertise of a practicing real estate attorney.