When you’re buying or selling a home, using an escrow service is a must. But how do you choose the right one? There are many out there, and they all have different features. No wonder why so many buyers and sellers feel overwhelmed!
Fortunately, you don’t have to go through the process of buying or selling a home on your own; there are several professionals that can help throughout the endeavor. Of all the professionals you’ll work with, an escrow service is one of the most important.
The job of an escrow service is to act as a neutral third-party who will hold a buyer’s earnest money until negotiations have been completed and the transaction has been finalized.
Here are some tips to help you choose the right one for your needs.
- Make sure the escrow service is licensed and insured. This is important for two reasons: first, it ensures that they are legitimate and have met the regulatory requirements in your state; and second, it protects you in case something goes wrong.
- Ask around for recommendations. Friends and family are great sources of information when it comes to finding good services. Chances are, someone you know has used an escrow service in the past, so they can tell you which ones to avoid and which ones are worth considering.
- Read reviews online. Once you’ve narrowed down your list of potential escrow services, be sure to read reviews from past customers online. This will give you a better idea of what to expect from each one in terms of customer service and how smoothly transactions go overall.
- Consider the reputation. When selecting an escrow business, one of the most crucial elements to consider is reputation. You want to ensure that the company you’re working with is ethical and has a solid reputation. When conducting research on a firm, make sure to check its customer reviews to see how other customers rank their services. To ensure that you obtain proper service, choose a company that is professional, detail-oriented, ethical, and respected.
- Response time and communication are frequent indicators of how a corporation provides its services. It is an important factor to consider while selecting an escrow provider. Escrow businesses that disclose information in a timely and open manner are more likely to deliver more complete and better services. In the same way that ambiguous depictions of information and delayed response times can be a sign of poor or even unscrupulous service in any other business, they can be a symptom of insufficient or even nefarious service in this one.
- The cost of the service is also something you’ll want to consider. Any escrow business that can provide accurate estimates of costs associated with selling your house, escrow services, title insurance, and so on is worth investigating. Many escrow businesses quote a base price and then charge additional fees at the conclusion of the transaction. It is prudent to request specific fees such as overnight, messenger, wire, doc prep, storage, edoc, email, and so on.
Service is the gold standard in the escrow industry. Whether through research or referrals, choose an escrow business that always prioritizes your needs.