Who pays for the escrow services?
Normally the buyer and seller share the cost of the escrow agent. What documents are prepared? Each transaction may have special arrangements requiring specific documents. In general, however, there are two basic types of transactions: the cash purchase and the installment sale. In a cash purchase the escrow agent normally prepares the following documents: 1.) The Closing StatementThis shows the sale price and the disbursement of all funds, i.e., to the seller, the broker, and any other creditors, such as banks or governmental authorities. 2.) Bulk Sales NotificationA letter to the business creditors of the current owner, notifying them of a pending sale and the date, so that they may submit their claim for any outstanding balance owed. 3.) Bulk Sale AffidavitAn affidavit by the seller in which he/she swears under penalty of law that there are no creditors or outstanding debts of the business to be sold. 4.) Property ScheduleAn exact and accurate list of all furniture, fixtures, equipm
