Independent & Controlled Escrow Companies

When purchasing or selling a property, one of the essential aspects of the transaction is escrow. An escrow company acts as a neutral third party, ensuring that all parties involved in the transaction fulfill their obligations. However, not all escrow companies are the same, and you'll have a choice between independent and controlled escrow companies. In this blog, we'll compare the two to help you determine which is right for you.

Independent Escrow Companies

Independent escrow companies are privately owned and operated, and they're not affiliated with any other company, such as a title company or real estate broker. These companies are licensed by the California Department of Business Oversight and are subject to strict regulations and audits. Independent escrow companies are often preferred by those who want to ensure that the escrow process is impartial and transparent.

One of the main benefits of an independent escrow company is that they typically offer a higher level of personal service. They'll work closely with both parties to ensure that the transaction proceeds smoothly and efficiently. Additionally, independent escrow companies often have more experience and expertise in handling complicated transactions, such as those involving commercial or investment properties.

Controlled Escrow Companies

Controlled escrow companies are affiliated with another company, such as a title company or real estate broker. These companies are typically owned by the same parent company and are subject to the same oversight and regulation.

Comparing the Two The main difference between independent and controlled escrow companies is their level of independence. Independent escrow companies are entirely neutral and impartial, while controlled escrow companies are affiliated with other companies and may have more limited options for services.

Ultimately, the choice between independent and controlled escrow companies comes down to personal preference and the specific needs of the transaction. If you value impartiality and personalized service, an independent escrow company may be the better option.