Is an Escrow Company and a Title Company the Same?
Escrow companies and title companies are not the same; however, a title company can offer escrow services.
When you are buying property, you need an escrow company to protect the earnest money you are investing in the process to show you are truly interested in purchasing the property. This earnest money is placed into an escrow account and maintained/managed for you throughout the closing process.
A title company handles many other details surrounding the purchase of property. For example, the title company can:
- Provide title searches to ensure the property you want is legally owned by the seller and help you settle all liens, judgements, etc., that might be on the property
- Offer you title insurance to protect you against any type of legal claims made on ownership of the property
- Help with the loan closing and help you complete all paperwork to become the legal owner.
- Maximize tax benefits by setting up a 1031 Exchange.
In addition, some title companies offer escrow services. It can be beneficial to have one company handle the entire process and ensure that the escrow funds are only used for the settlement and closing costs. There are many different title companies in Florida, but only one of them in Northwest Florida offers escrow services AND has an owner who is Board Certified in Real Estate Law.
Clear Title is led by Board Certified Real Estate Attorney Stephen R. Moorhead. Mr. Moorhead added escrow services to help homebuyers eliminate the need for a third party to get involved in the transaction. This saves time, hassle and money for all parties involved in the closing process. In fact, homebuyers can use the escrow services provided by Clear Title – even if they do not close with Clear Title.
With 100s of years of combined experience, the team at Clear Title can help make homebuying and selling a quick and seamless process. To schedule a meeting with our experts and explore our Pensacola title and escrow services, contact us today at (850) 202-8518 or visit ClearTitlenwfl.com.