Friday, November 21, 2008

Escrow Closings

We are closing on a property in Livermore today. I love closing day because we get money from the closing. Whether we are buying or selling. But it can make for a stressful time. This particular property we are closing on had its signing on Wednesday; not much time between signing and closing and that is a problem we are working to solve. We are responding to the seller needs for a fast closing so the money (from private lender) and the documents are signed and gather in the same week. There is a lot of papers to sign and invariably one or two documents gets missed and calls go out on Thursday from the title company to get the documents signed NOW or it won't close on the day we want to close on; so you have people running all over the county to get the signature required so you can close. It does get done. But boy it makes for some interesting times.

We have been involved in many closings and we still have not gotten our system in place to reduce the stressful situation to systematic approach that is calm and peaceful. What am I talking about?! I do not think that is possible. It will always come down to the wire because humans are involved. That is the nature of the business. Closing requires so many documents to cover all the legal aspects of the deal that it takes time. The title company has to make sure everything is documented and sign off before they can record the documents. That is if it is a standard bank loan, 20% down and 80% loan. It really gets interesting when you add our private money deals and owner financing, etc....

So we will continue to improve our procedures for closing on properties until we have it done to a science. Until then I will focus on the joys of closing escrows.

See Ya,

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