What Does Escrow Mean in Arizona and How Does it Work?

Find out what escrow means in Arizona and how it works.

What Does Escrow Mean in Arizona and How Does it Work?

What does escrow mean in Arizona?

Arizona is an escrow state and has certain requirements when buying or selling property.

Is escrow required in Arizona?

While some states use real estate attorneys to handle property sales, Arizona is an escrow state. You must use an escrow in Arizona when buying or selling property.

How much are escrow fees in Arizona?

The exact escrow fees depend on the title and escrow company that oversees the process. Fees also depend on the value of the property for sale. Escrow fees in Arizona are usually calculated around $2.00 per $1,000.000 of the property’s purchase price, plus an additional $250.00. Endpoint offers one flat rate of $650 per side regardless of the price of the home.

How long does escrow take in Arizona?

The escrow process in Arizona usually takes place in about 30 days. Occasionally, some escrow processes can take as long as 60 days. The more complex the property purchase, the longer the process of escrow in Arizona takes.

Who can perform escrow services in Arizona?

Escrow services in Arizona are handled by a title and escrow company that acts as the intermediate third-party between the buyer and seller. They handle all funds and verify that both parties meet written contract instructions. Companies that perform escrow services in Arizona must be certified by the Nationwide Mortgage Lending System (NMLS).

How to become an escrow officer in Arizona?

New applicants who want to become an escrow officer in Arizona must apply for an escrow agent license through the NMLS. There are no prerequisites for license applicants but you do need to submit an FBI background check.

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What Are Real Estate Closing Costs?

Closing costs are the expenses that buyers and sellers incur to finalize a transaction. Costs average between 2% and 5% of the mortgage amount.

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What Are Real Estate Closing Costs?