Escrow & Title
In California, the escrow officer receives instructions from:
AOnly the seller
BOnly the buyer's lender
CBoth the buyer and seller (and sometimes the lender)✓ Correct
DOnly the real estate agents
Explanation
The escrow officer receives instructions from all parties to the transaction — buyer, seller, and lender — and acts as a neutral party to carry out those mutual instructions when all conditions are satisfied.
Related California Escrow & Title Questions
- What is a 'preliminary title report' (prelim)?
- Which type of deed offers the most protection to the grantee?
- What is a 'grant deed' and what implied warranties does it contain?
- An abstract of title differs from a title insurance policy in that an abstract:
- When does legal title to a property pass to the buyer in a California transaction?
- Which type of title insurance protects the lender?
- What is the difference between an 'owner's title insurance policy' and a 'lender's title insurance policy'?
- What is the purpose of a 'FIRPTA withholding' in a real estate closing?
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