California's escrow process differs from most states. Understand each phase from opening escrow to recording the deed.
California uses an escrow process for real estate transactions, providing neutral third-party oversight of the closing.
## Opening Escrow
After accepting an offer: 1. Buyer's earnest money deposited with escrow 2. Escrow officer opens title search 3. Preliminary title report issued
## The Inspection Period
### Buyer's Investigations - Home inspection (10-17 days typically) - Termite inspection - Review of HOA documents (if applicable) - Title review
### Contingency Removal Buyers must actively remove contingencies or cancel. Missing deadlines can have consequences.
## Loan Processing
### Appraisal Lender orders appraisal to verify property value.
### Underwriting Lender reviews all documentation: - Income verification - Asset documentation - Credit verification - Property review
### Loan Approval Clear to close issued when all conditions satisfied.
## Final Steps
### Signing Both parties sign documents (often at separate appointments): - Grant deed - Loan documents - Closing statements
### Funding Lender wires funds to escrow once documents recorded.
### Recording County records deed, making transfer official.
## Common Issues
- Appraisal gaps requiring renegotiation - Title issues discovered late - Loan conditions not met - Wire fraud attempts (always verify instructions)