Where is the buyers money held before it is disbursed to the sellers account?
The buyer provides the balance of the purchase price to be held in a separate escrow account pending the closing of the transaction. The funds will not be disbursed to the seller until they have been cleared by the bank providing the escrow account and until the necessary documents have been recorded.
Related Questions
- Since ISA accounts have the same 8 digit appropriation account number for both the seller (child) and the buyer (parent), does the seller account follow the Chart of Accounts methodology of the buyer?
- What if the contract fails and the seller and buyer cannot agree on who is entitled to the earnest money?
- Can a Buyer on a Real Estate Contract Be Held Liable Beyond His Earnest Money Deposit?
