Home Seller's 8 Most Frequently Asked Questions:
Q: When do I get my proceeds check?
A: On the date of recording, you may request that your escrow officer either cut you a check for your proceeds, or wire the funds directly into your bank account.
Q: Why do I have to pay interest on my loan payoff past the day of recording?
A: Your lender continues to accrue interest to the date that they post your loan as being paid in full. This could be one or two days from the date your escrow officer sends your payoff check via overnight mail or wire transfer.
Q: When do I get a refund from my impound account?
A: After your escrow officer sends your payoff check to your existing lender, you can expect to get any refund from your impound account back from your lender within 30-60 days. If you have any questions after that time, we suggest calling your lender.
Q: When do I cancel homeowners/fire insurance?
A: Please do not cancel your insurance until you have confirmed that your transaction has closed.
Q: Why does my escrow officer require that I complete a 1099 form?
A: A 1099 form is the reporting form adopted by the IRS for submitting the information required by law. Under guidelines established by the IRS, sellers of real property are required to have their sales price reported on the 1099 form.
Q: What is a Statement of information?
A: Statements of information provide title companies with the information they need to distinguish the buyers and sellers of real property from others with similar names, for the issuance of title insurance at close of escrow. After identifying the true buyers and sellers, title companies may disregard the judgments, liens, or other matters on the public records under similar names.
Q: I don't understand tax pro-rations. How do they work?
A: Each year on January 1st, there is a lien on that year's property taxes attached to the land, pursuant to Arizona Law. However, the lien is not due and payable until October 1st of that year for the first half of that year's bill and the second half of that year's bill is not due until March 1st of the following year. Pro-rations are done to reimburse the buyer for the portion of the year that the seller has owned the property and has not yet paid taxes.
Q: What will I need to take with me to the title agency to sign my closing documents?
A: Take one of the following: Arizona Drivers License, Arizona ID card or military ID.