California real estate disputes often involve escrow deposits
The real estate market in California and across the country has its ups and downs. A fluctuating economy can impact property investment and sales in the United States. Some people purchase property only to walk away from their deals before closing of escrow, which can sometimes spark real estate disputes regarding escrow deposits.
Gaining a thorough understanding of the escrow process before signing a real estate contract can help reduce the risk of litigation down the line. It is critical that buyers and sellers fully understand the terms and conditions in the documents that govern the escrow process. It is also a top priority to have an experienced real estate law attorney review a proposed contract because terminology used in a prospective escrow agreement can help a buyer avoid losing a deposit.
No funds or property should ever change hands before all contingencies and instructions in a particular contract are satisfied. Escrow agreements can include buyers, sellers, borrowers or lenders. An escrow officer is required to handle an escrow deposit in accordance with the specific instructions of the agreement.
Only after all requirements in the agreement are satisfied can an escrow account be closed and funds disbursed accordingly. Each agreement is tailored to specific property. If real estate disputes arise regarding escrow deposits, a concerned party will want to connect with an attorney who is well-versed in California real estate law. Such an attorney can review a particular case and recommend a best course of action to help protect a client's financial interests and rights.