Hi, I am a new REALTOR & in the process of completing a purchase agreement for an all cash offer (first one). My question is how long does the close of escrow typically take? Do I find this info out from the seller/listing agent? Or is there a standard/usual number for cash offers?
Close of escrow is up to you (the buyer).. Usually you need to do an inspection, and the title report needs to be completed. Some title companies can get it done in a day. How fast (the amount of risk you are willing to take) is up to you.
Is this truly an all cash offer? If so the seller will want to close fast. 5 days is an acceptable time offer, but be careful your earnest money will go hard and you could lose it if you don't close.
@Anisha Knox cash offers usually 30 days could be quicker if title company is good. I always conservatively put 30 days though.
Choosing a closing date is completely up to your buyer. Typically I write 21-30 day closes but have had cash offers close in as little as 3 days. Be careful with the short closing times, sometimes escrow can't get Title or the payoffs (if there's a loan on the property) quick enough. If offering a quick close, make sure your ducks are in a row :)
You should be talking to your broker and to the title/escrow company you will be using.....not asking people in different states.
@Anisha Knox if you are in a title closing state, talk to the title company you plan on using. Here in Illinois we are an attorney close state, so I leaned heavily on my attorneys early on to get this info. You can also ask these questions of your managing broker. Don't feel bad as a newer agent when you need to lean on your "team". I still regularly consult with the loan officer that I refer out. He does 200 plus deals per year, and has been in the business for a long time. I refer him 15-20 new clients a year, so he will take a 5 minute phone call to make sure my deal goes through.