The California Buying Process

Unique Aspects to the CA Real Estate Process

If you happen to be relocating from another state or maybe you haven’t ever participated in the California home buying process, buying a home in California is different. One aspect you will quickly realize is we don't use attorneys to consummate a real estate transaction. If you’re from the East Coast you will quickly recognize this is a common practice. We do use something called escrow. After we have helped you find the San Diego beach home of your dreams and begun negotiations, you'll begin hearing about "opening escrow" and "closing escrow". Keep in mind, buyers and sellers rarely even meet each other during escrow.

Once you have found the home that meets your needs, here is a quick point-by-point review of the opening escrow process:

Opening of escrow - Once the seller accepts your offer or counter-offer (agreement to price and terms), you now have a formal contract. The opening of escrow allows a buyer and seller to transact the real estate purchase with each other without risk. Before title to the property is transferred to the new buyer, the buyer must deposit into escrow all monies necessary to pay for the home. This is most commonly accomplished when the buyer obtains a loan. All responsibility for handling funds and documents is delegated to the escrow holder, a neutral third party, which is usually a title insurance company (Title Insurance Officer) or escrow company.

Other key aspects of escrow:

• Home inspection (paid by the buyer)
• Title search conducted by the title company
• Buyer secures a loan approval

Close of Escrow - After both the buyer and seller have complied with the mutually agreed terms of the contract, the escrow is "closed," and the deed to the property is recorded. The escrow company then notifies the buyer’s and seller’s real estate agents that the title is recorded and on that day the buyer takes possession of the property. No final meeting between parties is necessary, since all documents had been signed prior to the close of escrow, and had been delivered to the escrow holder. On occasion, the seller may need to remain in the property after the close of escrow. This is typically handled by a separate agreement. After the close of escrow the buyer and seller will be given a settlement statement, reflecting all charges and credits for each party. It has been our experience most California residential transactions are completed without the assistance of an attorney. If buyers and sellers have legal or tax questions, we recommend you obtain advice from your attorney or tax professional.

Buying a San Diego Beach Home – A Significant Life Event!

Buying a San Diego area home can be one of your most significant investments in life. Not only are you choosing your dwelling place, and the place in which you will bring up your family, you are most likely investing a large portion of your assets into this venture. The more prepared you are at the outset, the less overwhelming and chaotic the buying process will be. Our goal is to provide you with detailed information to assist you in making an intelligent and informed buying decision. Remember, if you have any questions about the process, we're only a phone call or email away. Once you contact us, please expect a professional response to your questions in a timely manner.