Buying or selling in Suisun City and wondering what actually happens in escrow? You are not alone. Escrow can feel like a black box when you are juggling deadlines, inspections, and loan paperwork. This guide gives you a clear, local overview of how escrow works in Solano County, what to expect at each step, and how to keep your closing on schedule. Let’s dive in.
Escrow basics in California
Escrow is a neutral process that holds funds and key documents until the terms of your real estate contract are met and closing occurs. The escrow holder manages signings, wiring of funds, title coordination, and recording. You and the other party give written instructions, and the escrow company follows those instructions to the letter.
Escrow companies in California are licensed and regulated at the state level. They are required to safeguard your deposit and documents and to act as a neutral third party. They do not provide legal advice unless they are also attorneys.
Who does what in escrow
- Escrow officer: Receives your earnest money, coordinates title work, prepares settlement instructions, and manages signing, funding, and recording.
- Title company: Searches title, issues reports and title insurance commitments, and helps clear liens or other issues on title.
- Buyer: Deposits earnest money, completes inspections and loan steps, reviews disclosures and title, signs closing documents, and wires funds.
- Seller: Provides disclosures, completes agreed repairs or credits, clears title and payoffs, and signs the deed and closing paperwork.
- Lender: Orders appraisal, completes underwriting, issues loan approval conditions, and funds the loan into escrow.
- Real estate agents: Keep the process organized, track contingency deadlines, help you choose an escrow/title provider when appropriate, and coordinate communication.
Who picks the escrow company
The purchase agreement controls this choice. In Solano County, either buyer or seller can propose the escrow and title company as part of the offer, and both sides must agree. The key is to work with a licensed provider and confirm any local practices with your agent before you sign.
Your Solano County escrow timeline
Every transaction is unique, but most Suisun City escrows follow a similar path. Use these steps as a plain-English roadmap.
Step-by-step milestones
- Offer accepted and open escrow
- Timeframe: Usually within 1 business day after acceptance.
- Action items: Escrow is opened and file setup begins.
- Earnest money deposit
- Timeframe: Commonly due within 1 to 3 business days, per your contract.
- Tip: Confirm deposit amount, method, and wiring instructions with escrow directly by phone before sending funds.
- Order preliminary title report
- Timeframe: Typically within a few business days after opening.
- Purpose: Identifies liens, easements, and other title items for review and resolution.
- Inspections and investigation
- Timeframe: Often within 7 to 17 days, depending on your contract.
- Tip: Schedule general and specialty inspections early to allow time for follow-up.
- Loan process and appraisal (if financed)
- Timeframe: Underwriting and final approval often take 2 to 4 weeks, depending on volume and how fast documents are provided.
- Tip: Apply immediately and respond to lender requests the same day.
- Contingency removals
- Timeframe: Based on your contract dates for inspection, appraisal, loan, and title.
- Tip: Track dates with your agent and get removals in writing.
- Signing and closing package
- What happens: Once loan conditions are cleared and funds are ready, escrow prepares final figures and signing packets for both sides.
- Funding and recording
- What happens: Funds are wired, documents are recorded with the Solano County Recorder, and escrow disburses proceeds.
- Timing note: Recording commonly takes at least 1 business day and can take longer during busy periods or if extra documentation is required.
Typical escrow length
Cash purchases can close quickly. Financed escrows in Solano County commonly run 21 to 45 days, depending on the contract and how smoothly underwriting and inspections go.
Earnest money and contingencies
Your earnest money shows good faith and is held in the escrow account under the instructions you and the other party sign. The amount varies by local practice and negotiation. It will be applied to your purchase at closing or handled per the contract if there is a cancellation.
Common contingency types
- Inspection contingency: Lets you inspect and negotiate repairs or credits.
- Financing contingency: Protects you if you cannot obtain loan approval by the deadline.
- Appraisal contingency: Addresses what happens if the appraisal is lower than expected.
- Title contingency: Gives time to review the preliminary title report and clear issues.
- Sale-of-home contingency: Less common in competitive settings, but possible if negotiated.
What happens to the deposit
- If you cancel within a valid contingency window and follow the notice rules, deposits are typically returned.
- If you default after removing contingencies or fail to close as required, the seller may be entitled to the deposit as liquidated damages if the contract provides for it.
- If there is a dispute, escrow will hold the deposit until both sides agree in writing or a legal process resolves it.
Closing costs and local taxes
Closing costs are the fees and prorations paid at settlement. Who pays what varies by contract and local custom. Many items are negotiable.
Common buyer and seller costs
- Escrow fee: Paid per agreement or custom.
- Title insurance: Lender’s policy is usually required for financed buyers. An owner’s policy is optional but recommended.
- Recording fees and transfer taxes: Paid to the county for recording. City or county transfer taxes may apply and vary by jurisdiction.
- Loan-related charges: Origination, points, appraisal, credit report, and processing fees.
- Third-party charges: Notary, courier, wire fees, and any HOA transfer or estoppel fees.
- Prorations: Property taxes, HOA dues, and utilities are prorated between buyer and seller.
- Home warranty: Optional and sometimes used as a seller credit.
Buyers often pay about 2 to 5 percent of the purchase price in closing costs, not including the down payment. Sellers usually cover commissions, their side of escrow and title fees, agreed credits, and any liens or payoffs. Exact amounts depend on your contract and local practice.
Solano County tax notes
- Property tax proration: Taxes are prorated at closing based on the closing date.
- Supplemental assessment: A change in ownership often triggers a supplemental assessment under California law, which leads to one or more supplemental tax bills after closing. Plan for this as a post-closing cost.
- Fee schedules: Recording fees, documentary transfer taxes, and any city-specific charges can change. Check current schedules with the Solano County Recorder and the Solano County Assessor and Treasurer-Tax Collector before you budget.
HOA documents and timelines
If you are buying in a community with an HOA, escrow will request resale packages, CC&Rs, budget statements, and estoppel documents. These packets can take time to prepare and deliver. Order them as early as possible to keep your contingency period on track, and review all HOA rules and fees during your investigation window.
How to keep your escrow on track
A little planning goes a long way. Use this checklist to avoid common delays in Suisun City closings.
- Open escrow immediately after acceptance and confirm your deposit due date and method.
- Apply for your loan the same day and reply to lender requests within hours, not days.
- Book inspections right away and add specialty inspections early if needed.
- Sellers: provide loan payoff details, HOA contacts, and any trust or probate documentation up front.
- Buyers: confirm how you want to hold title and have your ID ready for the notary.
- Request HOA docs immediately and ask about expedited options if your timeline is tight.
- Review the preliminary title report as soon as you get it and flag any issues for resolution.
- Confirm expected recording day with escrow, especially around holidays or high-volume periods.
Protect your funds from wire fraud
Wire fraud is a real risk in real estate. Criminals can spoof emails that look like they are from escrow or your agent. Protect yourself with a few simple steps.
- Always call your escrow company using a phone number you obtain from a trusted source to verify wiring instructions before sending funds.
- Never rely only on email for wiring details or last-minute changes.
- Question any urgent or unexpected requests to change wiring instructions.
- Escrow companies will not change wiring details without verified, verbal confirmation.
Signing, funding, and recording
Once all contingencies are removed, loan conditions are cleared, and final numbers are approved, you move to signing. You will sign your documents with a notary and arrange final funds, typically by wire. After funds are received, escrow submits the deed and loan documents to the Solano County Recorder for recording. When recording is confirmed, escrow disburses proceeds and title insurance policies are issued. You then receive keys based on the possession terms in your contract.
A smooth escrow comes down to clear expectations, quick communication, and dependable local guidance. If you want a straightforward, Suisun City-focused game plan for your next move, connect with Michael Hulsey for a local walkthrough and next steps.
FAQs
Who pays title and escrow fees in Suisun City?
- Payment is negotiable and guided by local custom, with buyers often covering lender-related costs and both sides splitting escrow and title per the purchase agreement.
How soon is earnest money due in Solano County escrow?
- Your contract controls timing, but many California forms call for deposit within a few business days after acceptance; confirm exact dates in your agreement.
How long does escrow take in Suisun City?
- Financed purchases commonly run 21 to 45 days, while cash deals often close faster, subject to the contract and how quickly conditions are met.
What if contingencies are not removed on time?
- The contract may allow termination or provide seller remedies; follow the notice procedures exactly and track dates with your agent.
Will I receive a supplemental property tax bill after closing?
- Often yes; a change in ownership can trigger a supplemental assessment in Solano County, leading to one or more supplemental tax bills.
How are HOA documents handled during escrow?
- Escrow requests the HOA resale package and estoppel; order early to avoid delays and review fees, rules, and budgets within your investigation period.
