In California residential escrow transactions, when does the escrow officer disburse sale proceeds to the seller?
Correct Answer
C) After the grant deed is recorded and all escrow conditions are satisfied
California escrow practice requires that the grant deed and deed of trust be recorded at the county recorder's office and all escrow conditions be fully satisfied before the escrow officer is authorized to disburse proceeds to the seller. Recording is the triggering event for disbursement, and funds are typically released to the seller by wire or check on the same day recording is confirmed.
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Previous Question
Three business days before a scheduled California residential closing, the buyer's lender issues a Closing Disclosure showing that the loan's APR has increased beyond the TRID tolerance threshold compared to the original Loan Estimate. What must occur before closing can proceed?
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A California real estate broker is holding a buyer's earnest money deposit. The broker must deposit the funds into the broker's trust account. Under California DRE regulations, by when must the broker deposit the funds?