Escrow Closing StatementEscrow is a term which one typically comes across in real estate matters. This is a legal arrangement. Here, an asset is delivered to a third party to be held till pending contingency, or fulfillment of conditions, as stipulated in a contract. The escrow closing statement is the process of concluding an escrow. Since this is a legal process, the closing statements need to be drawn accordingly. A closing statement is basically an accounting in writing which is prepared at the end of an escrow. This sets forth the charges as well as the credits of your account. The items shown in the statement will include the purchase price, funds deposited or credited to your account, cost of all the services, and also determination of all the funds which you are entitled to at the end of an escrow. After receiving your closing papers, you can review your closing statement. It is usually extremely logical and reflects the financial aspects of your particular transaction. If in case you find that you cannot understand some of the details, you can always approach your escrow officer for clarification. When you are going through your closing papers, do remember to examine them thoroughly. You can even find a refund check hidden somewhere in those papers. If you do find one, please be sure to get it properly endorsed. All payees are expected to endorse their checks. This will eliminate any possibility of the check being returned unpaid because of irregular or missing endorsements. Your closing statement along with your other escrow documents should ideally be preserved forever as they come in handy in tax purposes. Your accountant must also be provided with all the details of your sale or purchase of the property. IRS and other government agencies may also require you to prove your costs or profits on the purchase/sale of any property. To properly close your escrow, it is advisable to approach an escrow officer or attorney to ensure that all the contract instructions are met. These professionals help you meet all deadlines and compliance, and also request pay off instructions for existing loans against property. It is essential to find an escrow officer or attorney who is a proven professional. This will ensure that obtaining your escrow closing statement is hassle-free. If you have any problems dealing with the escrow closing statement, you can simply approach your escrow officer. If the issue is still not resolved, you can approach the management and owner of the company, failing which you can always contact the proper regulatory agency. However, when you have finally obtained the escrow closing statement, do remember to keep it in a safe and easily accessible place. After all, this is one important document that you will need for throughout your life. |