Escrow Process in Los Angeles County: Timeline & Tips

Buying or selling a home in Los Angeles County and wondering what actually happens during escrow? You are not alone. Escrow can feel like a maze of forms, deadlines, and wire transfers, especially if this is your first time. In this guide, you will see a clear timeline, who does what, how contingencies work, and local LA County factors that can speed things up or slow things down. Let’s dive in.

Who does what in escrow

Understanding each role makes the process smoother and less stressful.

• Escrow officer: A neutral third party who holds deposits, prepares escrow instructions and closing statements, coordinates document exchange, orders payoffs, and manages recording and disbursement.
• Title company: Searches and reports on title, identifies liens or encumbrances, and issues title insurance for you and your lender.
• Lender: If you finance, your lender underwrites the loan, orders the appraisal, sets conditions, and wires loan funds at closing.
• Seller: Provides required disclosures, signs seller documents, and delivers clear title.
• Buyer: Completes inspections, signs buyer documents, and brings funds to close.
• Real estate agents: Coordinate communication, negotiate repairs and credits, track deadlines, help schedule inspections, and review closing statements.
• County recorder: Records the deed and any mortgage after funding, and collects recording fees and transfer taxes as applicable.
• HOA (for condos or planned communities): Supplies the resale package, CC&Rs, and rules that you must review during escrow.

LA County escrow timeline: step by step

Below is a typical sequence. Timelines are common industry ranges in Los Angeles County. Your contract sets your exact deadlines.

Step 1: Pre‑offer prep (days to weeks before)

• Buyers: Get lender pre‑approval, gather ID and funds for the deposit.
• Sellers: Assemble disclosures, permits, HOA info, and recent statements so you can respond quickly.
• Agents: Advise on pricing and likely contingency timeframes for the area and property type.

Step 2: Offer accepted, open escrow (day 0 to day 3)

• Event: Your offer is accepted and escrow is opened, often the same day or within 1 to 3 business days.
• What happens: Escrow assigns a file number, issues opening packages, and receives the earnest money deposit per your contract.
• Documents: Signed purchase agreement, deposit, buyer and seller contact info, financing addenda, and a request for a preliminary title report.

Step 3: Disclosures, inspections, and early contingencies (day 0 to about days 17–21)

• Seller disclosures: You receive required California disclosures and, if applicable, HOA documents.
• Inspections: You schedule general home, pest, and any specialty inspections. Many contracts use 10 to 17 days for the inspection period, though this is negotiable.
• Title: The title company issues the preliminary title report for review.
• Loan start: If you are financing, you complete your loan application and submit documents to your lender.

Step 4: Loan underwriting, appraisal, and title clearance (week 2 to week 4, varies)

• Appraisal: Your lender orders the appraisal, which often takes 1 to 2 weeks depending on appraiser availability.
• Underwriting: The lender reviews your file and issues conditions, which you satisfy with updated documents.
• Title clearance: Title identifies any liens or issues that must be cleared before closing.
• HOA docs: If there is an HOA, plan for several business days to a couple of weeks for the full resale package.

Step 5: Repairs and contingency removal (overlaps weeks 2 to 4)

• Negotiations: Based on inspection findings, you may request repairs, credits, or a price change. The seller responds and you work toward agreement.
• Contingency removal: You remove your inspection contingency in writing once you are satisfied. Your loan contingency usually follows when your lender issues a final approval or clear to close. Many contracts use 21 days for loan contingency, but this is set by your agreement.

Step 6: Clear to close, signing, and funding (week 3 to week 6)

• Final approval: Your lender issues clear to close when all conditions are met.
• Signing: Escrow prepares the closing statement and schedules your signing. Mobile or remote signings are common.
• Funding: After everyone signs and final conditions are met, your lender wires funds to escrow. This is often 1 to 3 business days after the clear to close.

Step 7: Recording and keys (funding day to 1–3 business days)

• Recording: Escrow sends the deed and loan documents to the Los Angeles County Recorder. With eRecording, same‑day or 1 to 3 business days is common depending on workload and document review.
• Disbursement: After recording, escrow disburses funds, pays off loans, and releases proceeds.
• Keys: Once recording is confirmed, you receive keys and can take possession according to your agreement.

How long does escrow usually take?

• Cash with no contingencies: About 7 to 14 days if title is clear and everyone is ready.
• Conventional loans: Often 30 to 45 days.
• FHA or VA loans: Commonly 45 days or more, since additional steps can extend timelines.
• Complex files or title and HOA delays: Expect extra time.

Contingencies and how they work

Contingencies give you time to verify the property, secure financing, and review documents. Here are the big ones.

Inspection contingency

• What it covers: General home, pest, roof, sewer, chimney, and other specialty inspections as needed.
• What to expect: You review results and can request repairs or credits. Negotiations can add several days.
• If you cancel: If within your inspection period and in line with your contract, your deposit is typically refundable.

Loan and appraisal contingencies

• Loan: You must obtain lender approval by the contract deadline. If your loan is denied and the contingency remains in place, you may cancel per the contract.
• Appraisal: If the appraisal is below the purchase price, outcomes include a price reduction, you bringing extra cash, a split of the difference, or a second appraisal. This can add 1 to 2 weeks.

Title and HOA contingencies

• Title: Liens, judgments, or missing releases must be cleared before closing. Timing depends on how fast lienholders respond.
• HOA: For condos and many planned communities, you review CC&Rs, rules, financials, and minutes. If the HOA package is delayed, you may need an extension by agreement.

Los Angeles County factors to know

• Transfer taxes: Many cities in LA County have their own documentary transfer taxes collected at recording. Rules and who pays vary by city. Verify at the start of escrow.
• Recording practices: LA County supports eRecording for many documents, which can shorten turnaround times compared with manual submission.
• HOA prevalence: Condos and planned communities are common countywide. HOA resale packages can be a major timing factor.
• Local ordinances: Properties may be subject to city requirements, such as soft‑story retrofits or rental registration rules. Check city requirements early, especially for older buildings or rentals.
• Property taxes: Expect prorations at closing and possible supplemental assessments after you take title. Some areas also include Mello‑Roos or community facilities district charges.
• Permits and unpermitted work: Buyers and title underwriters often review permits. Unpermitted additions or conversions can affect negotiations and timing.
• Wire fraud risk: Always confirm wiring instructions by calling a known, trusted phone number. Never rely only on email.

Buyer and seller checklists

Buyer checklist

• Lender pre‑approval and loan documents ready, including pay stubs, bank statements, and tax returns as requested.
• Government ID, Social Security or TIN, and verified funds for your deposit and closing.
• Inspection schedule: general home, pest, and specialty inspections as needed.
• HOA documents: request and review the full resale package promptly if applicable.
• Be ready to eSign disclosures and loan documents quickly.

Seller checklist

• Complete required California disclosures and deliver them promptly after acceptance.
• HOA documents and management contacts if the property is in an association.
• Mortgage payoff information and any assessment details.
• Copies of permits and knowledge of any unpermitted work.
• Utility and tax information for prorations, plus keys, remotes, and access codes for closing.

How your agent keeps escrow on track

• Sets realistic contingency deadlines for your property and loan type.
• Coordinates inspectors, escrow, title, lender, and HOA to avoid bottlenecks.
• Reviews disclosures and the preliminary title report to catch issues early.
• Negotiates repairs or credits and documents agreements for escrow.
• Verifies closing statements and questions any unclear charges.
• Educates you about city transfer taxes and local requirements so you are not surprised.
• Emphasizes wire‑fraud safety and verifies final wiring procedures with you.

Tips to speed up your closing

• Buyers: Get a full pre‑approval before you make an offer and respond to lender requests within 24 hours.
• Sellers: Deliver disclosures and HOA documents immediately after acceptance.
• Both sides: Keep communication fast and clear. Missing documents are the most common cause of delays.
• Condos: Order HOA resale packages right away. Build in a realistic review period.
• Wiring: Confirm instructions by phone using a known number. Do not use email alone to verify wire details.

Ready to move forward with confidence? If you want step‑by‑step guidance tailored to Los Angeles County, reach out to a local, bilingual advisor who will keep your escrow on schedule from day one. Connect with Mark Anthony Ramos to plan your timeline and next steps.

FAQs

How long does escrow take in Los Angeles County?

• Typical financed escrows take about 30 to 45 days, cash deals can close in 7 to 14 days, and FHA or VA loans often run 45 days or more.

Who holds my earnest money deposit during escrow?

• The escrow company holds your deposit once escrow is opened and disburses funds based on signed escrow instructions.

What happens if the appraisal is lower than the price?

• You and the seller can renegotiate the price, you can bring additional cash, you may request a second appraisal or lender reconsideration, or you can cancel if your appraisal contingency remains in place.

Who pays documentary transfer taxes in LA County cities?

• It depends on city rules and your contract. Some cities have common customs, but there is no universal rule, so verify at the start of escrow.

What are typical closing costs for buyers and sellers?

• Buyers and sellers both pay items like title and escrow fees, prorated taxes, HOA fees if applicable, transfer taxes where required, loan costs for buyers, and agent commissions as agreed.

When do I get the keys after closing?

• After funds are disbursed and the deed records with the Los Angeles County Recorder, escrow confirms recording and you receive keys based on your contract.

Can a cash purchase close faster?

• Yes. With clear title and ready documents, many cash escrows close in 7 to 14 days since there is no loan underwriting timeline.