For people who have never been in a Real Estate transaction, all the new terms in the Real Estate world might be over-whelming.
However don’t fear.
The more you are active in the industry, the more you will come across these terms and the more you will come to know them like the back of your hand.
So that leads us into today’s topic.
What is Escrow?
Escrow is a Neutral 3rd party that helps put together Real Estate deals based on the Real Estate Contract between a buyer and seller.
Once a buyer and seller sign a contract, the contract is given to an Escrow company and you say you want to open escrow.
Why you need it:
The escrow company will then “open escrow” and follow the contract to a “T”.
Escrow will help push along the entire transaction and even holds onto the buyers deposit during the transaction, so if for any reason the buyer cancels…the seller won’t have the money in their hands.
Also if you need anything done that you don’t know how to do (assign a contract, wire money, 2nd Trust deed, etc..) you ask escrow to help.
This is why it is so important to have an investor friendly escrow company.
They’ll know how to navigate creative investment deals, rather than just the typical retail purchase with a buyer buying a home to live in.
How do you find investor friendly escrows?
- Ask other investors
- Go to investor meetups
- Join BTG HERE
Once you work with a few different escrows you will be able to tell the difference between a great escrow company and a crappy one.
To get all our systems on how to make BIG money in Real Estate and learn what company we recommend for Real Estate transactions check out Better Tomorrow Group by CLICKING HERE
Chris M Cordova
CFO Better Tomorrow Group
Chris is an active investor, Realtor, Broker, marketer, serial entrepreneur, and co-founder of Better Tomorrow Group. Follow Better Tomorrow Group on Instagram@bettertomorrowgroup on Twitter/Periscope @TheBTgroup and Facebook at Better Tomorrow Group. If you would like FREE MEMBERSHIP to Better Tomorrow Group CLICK HERE.