Escrow & Title
What is the difference between an escrow company and a title company in Washington?
AThere is no difference — they perform identical functions
BTitle companies search title and issue title insurance; escrow companies handle the closing process; some firms do both✓ Correct
CEscrow companies are licensed by the DOL; title companies are not regulated
DTitle companies are only for commercial transactions; escrow companies are for residential
Explanation
Title companies search title, issue title insurance commitments and policies, and may also provide escrow services. Escrow companies handle the closing process (receiving and disbursing funds, coordinating signing). In Washington, many title companies offer both services, but they are distinct functions.
Related Washington Escrow & Title Questions
- In Washington, which of the following encumbrances would NOT appear in a title search of public records?
- A Washington title search reveals a 'gap' in the chain of title — a period where there is no recorded conveyance. This 'gap' is:
- When Washington real property is sold, who is responsible for paying the Real Estate Excise Tax (REET)?
- A lender's title insurance policy in Washington protects:
- A Washington buyer discovers a mechanic's lien on the property they are purchasing. This lien should be:
- A Washington escrow company receives the recording confirmation. What is the significance of the recording date?
- In Washington, a notice of trustee's sale must be recorded and mailed to the borrower at least how many days before the sale?
- In Washington, real property taxes constitute a specific lien on the property assessed that has priority over:
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