• Escrow

Escrow is the process that starts when your offer is accepted by the seller. It ends when you become the new registered owner of the property.

From Contract to Closing 

Parties Involved                                                 Action

Buyer, Seller, Agents                                           Contract Successfully negotiated, all copies delivered

Buyer, Seller, Agents                                           Home inspection ordered, performed.  Report issued.  Repairs negotiated.  Termite Inspection ordered and preformed.  Any treatment paid by sellers. 

Buyer                                                                     Makes formal loan application, pays for credit report & appraisal.

Lender                                                                   Orders credit report, appraisal, solicits verifications.

Seller, Appraiser                                                   Appraisal performed.  Report sent to lender.

Lender                                                                   Receives all documents, sends file to Underwriter.  Sends to PMI Company if necessary.  Loan commitment issued.

Buyer or Agent                                                     Notifies Attorney to do Title Search, Prepare Sellers deed        Homeowner’s Insurance is purchased                                             Closing date is set:  All parties notified.

Buyer                                                                     Utilities ordered in Buyer’s name as of closing date. 

Seller                                                                      Final meter readings for utilities ordered as of closing date

Lender                                                                   Forwards final closing package to Attorney.

Attorney                                                                Runs final update search on Title.  HUD statement to Agents.

Agent/Broker                                                        Forwards Earnest Money Deposit to Attorney.

Buyer, Agent                                                        Perform final walk-through inspection prior to closing

Buyer, Agent, Seller, Agent                                Settlement:  Seller signs Deed.  Buyer sign Note & Deed of Trust.  Title Insurance issued.  Buyer pays Attorney by Certified Check per HUD-1 statement. 

Attorney                                                                Closing:  Records all necessary documents at County Court House.  Disburses funds:  Agent’s check, Seller’s proceeds, all items agreed upon at settlement meeting. 

What is a home inspection?

It is an evaluation of the visible and accessible systems and components of a home (plumbing system, roof, etc.) and is intended to give the client (usually a homebuyer) a better understanding of their condition. It is also important to know what a home inspection is not! It is not an appraisal of the property's value; nor should you expect it to address the cost of repairs. It does not guarantee that the home complies with local building codes (which are subject to periodic change) or protect you in the event an item inspected fails in the future. [Note: Warranties can be purchased to cover many items.] Nor should it be considered a "technically exhaustive" evaluation, but rather an evaluation of the property on the day it is inspected, taking into consideration normal wear and tear.

Can anyone perform a home inspection?

No. Only persons licensed by the North Carolina Home Inspector Licensure Board are permitted to perform home inspections for compensation. To qualify for licensure, they must satisfy certain education and experience requirements and pass a state licensing examination. Their inspections must be conducted in accordance with the Board's Standards of Practice and Code of Ethics.

Why should I have the home inspected?

Most homebuyers lack the knowledge, skill and emotional detachment needed to inspect homes themselves. By using the services of a licensed Home Inspector, they can gain a better understanding of the condition of the property, especially whether any items do not "function as intended"or "adversely affect the habitability of the dwelling"or "warrant further investigation" by a person who specializes in the item in question.

How do I request a home inspection, and who will pay for it?

You can arrange for the home inspection or ask your real estate agent to assist you. Unless you otherwise agree, you will be responsible for payment of the home inspection and any subsequent inspections. If the inspection is to be performed after you have signed the purchase contract, be sure to schedule the inspection as soon as possible to allow adequate time for any repairs to be performed.

What should I do if I feel something has been missed on the inspection?

Before any repairs are made (except emergency repairs), call the inspector or inspection company to discuss the problem. Many times a "trip charge" can be saved by explaining the problem to the inspector who can answer the question over the telephone. This also gives the inspector a chance to promptly handle any problems that may have been overlooked in the inspection.