Buying in Mill Valley or greater Marin and wondering what really happens once your offer is accepted? Escrow can feel opaque if you have not been through it before. You want a clear roadmap, fewer surprises, and confidence at each step. In this guide, you will learn the Marin-specific escrow flow, key contingencies, common timelines, and local risks like wildfire and sewer laterals so you can move from offer to keys with clarity. Let’s dive in.
What escrow means in Marin
Escrow is a neutral process that holds funds and coordinates every task needed to transfer a home to you. In California, an escrow or title company acts as an impartial third party and follows written instructions from you, the seller, your lender, and both agents. Your earnest money deposit and closing funds are held in a secure trust account.
Escrow closes when your lender funds the loan, the seller’s deed is recorded with the county recorder, title insurance is issued, and funds are disbursed. Only then are keys released to you. That sequence protects both sides and ensures a clean transfer.
Step-by-step escrow timeline
Offer accepted and open escrow
Once the seller accepts your offer, the agents open escrow with a chosen company and you deposit your earnest money as the contract requires. The escrow company issues an escrow number and orders a preliminary title report. They also collect contact information for your lender, the HOA if applicable, and other parties to keep the process moving.
Seller disclosures and title report
The seller provides required disclosures, including a Transfer Disclosure Statement, a Natural Hazard Disclosure, and any local or HOA documents if those apply. You and your agent review the preliminary title report to understand liens, easements, and any exceptions. This early review helps you plan for any issues that could affect closing.
Contingency period: inspections, loan, and documents
During your contingency window, you schedule inspections and your lender orders the appraisal. You review HOA documents if the property is in an association, and you digest all seller disclosures. Based on what you learn, you may negotiate repairs, credits, or price adjustments.
Appraisal, underwriting, and title clearance
Your lender receives the appraisal and reviews value relative to your contract price. If value comes in low, you can explore options such as a price change, bringing extra cash, or canceling if your appraisal contingency remains. Meanwhile, the title company clears items like prior loan payoffs or recorded liens so your title will be insurable.
Final approval, Closing Disclosure, and signing
After final loan approval, your lender issues the Closing Disclosure. You must receive this at least three business days before you can close. Escrow prepares your final settlement figures, and you sign closing documents in person or with a notarized signing. The seller signs their documents as well.
Funding, recording, and keys
On closing day, your lender wires funds or you deposit funds for an all-cash purchase. Escrow confirms funds, pays off any existing liens, and releases documents for recording with the county. Title insurance is issued after recording, funds are disbursed, and keys are delivered to you.
Key contingencies to know
Contingencies give you time to verify the property and your financing. These time frames are set in your purchase agreement and can be negotiated.
- Inspection contingency: Often 10 to 17 days in California practice, with 17 days a common starting point. You can inspect, request repairs or credits, or cancel within the period if needed.
- Loan contingency: Commonly around 17 to 21 days, giving you time to secure loan approval.
- Appraisal contingency: Protects you if the appraisal is below your contract price. Options vary and depend on the contract language.
- Title contingency: Allows time to review the preliminary title report and request cures for certain issues.
- HOA and other contingencies: If the property has an HOA, you review CC&Rs, reserves, and recent meeting notes before deciding to proceed.
If you remove contingencies, you are signaling that you are prepared to move forward. Discuss timing and risk with your agent and lender before you remove any contingency.
Local inspections and risks in Marin
Marin homes benefit from targeted inspections that reflect local conditions. These help you understand maintenance needs and future costs.
- General home inspection: A top-to-bottom review of systems and structure.
- Pest or wood-destroying organism inspection: Common in Marin to uncover termites or fungus.
- Wildfire and vegetation considerations: Many Mill Valley and Marin properties are in higher wildfire risk areas. You may want a defensible-space review or ember vulnerability assessment, and insurers may require mitigation.
- Sewer lateral or septic inspections: Older homes can have aging sewer laterals. Some cities require lateral certification or upgrades during a sale, so verify rules for Mill Valley or San Rafael early.
- Hazard or environmental checks: If the property is near creeks, baylands, or former agricultural sites, consider additional reports if concerns arise.
Insurance is a key factor in Marin. Start quotes early, especially for properties in higher fire-risk zones, because delays in insurance approval can delay funding.
Appraisals and valuation
Lenders order appraisals to confirm value. In typical conditions, appraisals take about one to two weeks once ordered, but busier periods can stretch that timeline. If the appraisal is below your contract price, your options include a price change, bringing additional cash, or canceling if your appraisal contingency is still in place.
Some buyers offer appraisal-gap coverage or waive the appraisal contingency to compete. These strategies can carry higher risk for you. Make sure you understand potential cash needs and discuss them with your lender and agent before using them.
Title review and insurance
The preliminary title report lists liens, easements, covenants, and other exceptions that affect ownership and use. Common Marin items include unreleased prior mortgages, mechanic’s liens from recent work, or recorded easements for access, utilities, or sewer.
Your lender will require a lender’s title policy, and you can also receive an owner’s title policy that protects your equity. Owner’s policies are issued after recording. If anything on the preliminary title report concerns you, ask the title officer and your agent to explain options and timing to cure it.
Typical timelines in Mill Valley and San Rafael
Every transaction is unique, but these ranges are common in Marin:
- Overall escrow length: Financed purchases often close in 30 to 45 days. Cash purchases can close faster, sometimes in 7 to 21 days, if title is clear and both sides are ready.
- Inspection period: Often 10 to 17 days, with 17 days a common starting point on standard forms.
- Loan approval period: Often 17 to 21 days, but complex files may take longer.
- Appraisal timing: About 7 to 14 days from order to report in typical conditions.
- Title clearance: Simple items may clear quickly, while complex issues such as probate or quiet title can take weeks to months.
Underwriting timelines depend on how quickly you complete paperwork and respond to conditions. Staying responsive keeps your file moving.
Closing costs and who pays
Your final settlement statement will show how costs are allocated. Local custom can vary and many items are negotiable, so confirm with your agent and escrow officer.
- Buyer costs may include: Lender fees, the appraisal fee, credit report fee, the lender’s title insurance policy, recording fees for your deed and mortgage, and prepaid items such as property tax proration, your homeowner’s insurance premium, and daily interest. HOA transfer and document fees may apply if there is an HOA.
- Seller costs may include: Brokerage commissions, an owner’s title policy in some areas, documentary transfer taxes where applicable, payoff of existing loans, and any agreed concessions.
- Earnest money deposit (EMD): Often 1 percent to several percent of the price. In competitive Bay Area markets, buyers sometimes use a larger EMD to strengthen offers. The exact amount and terms are negotiated in your contract.
Local transfer taxes and recording fees can vary by city and county. Ask your escrow officer for current Marin and city-specific policies so you can budget accurately.
Wire safety and your pre-closing checklist
Wire fraud is real. Always verify wiring instructions with your escrow officer by calling a verified phone number before you send funds. Do not rely on email alone.
Use this simple checklist to stay on track:
Before opening escrow
- Get full loan preapproval and gather proof of funds.
- Ask your agent which escrow or title companies they trust and why.
Right after offer acceptance
- Deposit your earnest money on time as the contract requires.
- Send your lender all requested documents and sign authorizations promptly.
- Schedule inspections within the contingency period.
- Expect the lender to order the appraisal and provide property access.
- Request the preliminary title report and begin your review.
During contingencies
- Review seller disclosures and HOA documents.
- Negotiate repairs, credits, or price adjustments if needed.
- Confirm homeowner’s insurance availability and pricing.
Three to seven days before closing
- Review your Closing Disclosure and settlement figures carefully.
- Confirm wire instructions directly with escrow by phone.
- Schedule your signing appointment and arrange your closing funds.
On closing day
- Bring valid identification for signing and ensure funds have been delivered.
- Ask escrow to send you the recorded deed and final statements once complete.
What happens on closing day
Your lender wires funds or you deposit them if paying cash. Escrow confirms funds, pays off the seller’s loans, and releases documents for recording at the county. Once recording is confirmed, title insurance is issued and escrow disburses funds as instructed. Your agent will then arrange key delivery and access.
How to stay ahead in Marin
Start your insurance conversations early, especially if the home is in a higher wildfire risk area. If a sewer lateral inspection or certification is required in Mill Valley or San Rafael, plan time for repairs. Read HOA documents carefully to understand reserves and any planned assessments. Above all, lean on local guidance so you can remove contingencies with confidence.
When you are ready to buy, work with a local advisor who blends strategic rigor with calm, high-touch service. If you want a clear plan from offer through closing, connect with Drew Thomas for a tailored roadmap and local insights.
FAQs
How long is escrow for a financed home in Mill Valley?
- Most financed escrows in Marin take about 30 to 45 days, while cash deals can often close in 7 to 21 days if title is clear and both parties are ready.
What happens to my earnest money if I cancel during escrow?
- If you cancel within a valid contingency period under your contract, you generally can recover your deposit, but outside contingencies the seller may be entitled to it and outcomes depend on the contract.
Who picks the escrow or title company in Marin?
- Either side can propose a company and the choice is negotiable, with many agents recommending firms they trust for responsiveness and accuracy.
What delays escrows most often in Marin County?
- Common delays include title clearance issues, insurance challenges for homes in higher wildfire risk areas, appraisal timing or low appraisals, and complex HOA document reviews.
Can I close faster if I am paying cash in San Rafael or Mill Valley?
- Often yes, since you do not need loan underwriting, but you still need clear title, completed disclosures, and any required municipal compliance such as sewer lateral certification.
When do I get the keys to my new home?
- Keys are typically released after the deed records with the county, title insurance is issued, and escrow confirms funds have been disbursed.
