In a Washington home sale, the title company and the escrow (closing) agent do two different jobs. The title company researches the property’s ownership history, identifies liens and other issues, and issues title insurance. The escrow agent is a neutral third party who holds funds and documents, prepares the settlement statements, collects signatures, pays off loans and costs, and sends the deed to be recorded with the county. In Washington, the sale is typically considered closed once the deed is recorded and funds are available to the seller.
Many Pierce County buyers and sellers use a title company and an escrow company that are affiliated, which is why the two roles get blended together. Knowing who does what helps you understand the steps between mutual acceptance and getting the keys.
What the title company does
- Searches public records for the property’s ownership history, liens, judgments, easements, and recorded restrictions.
- Issues a preliminary title commitment early in the transaction. The purchase agreement gives the buyer time to review it and raise objections.
- Clears issues with the parties before closing, such as old liens that need to be released.
- Issues title insurance: an owner’s policy that protects the buyer, and usually a lender’s policy that protects the lender.
Title insurance is a one-time premium paid at closing, not a monthly bill.
What the escrow agent does
- Opens escrow after mutual acceptance and follows the written instructions in the purchase agreement.
- Holds funds, which can include earnest money when the agreement names escrow as the holder.
- Coordinates with lenders on payoffs and the new loan.
- Prepares settlement statements showing every credit and charge for buyer and seller.
- Prepares the real estate excise tax affidavit and collects the tax. See how REET works in Washington.
- Handles signing, then sends documents for recording with the Pierce County Auditor and disburses funds.
In Washington, independent escrow agents are licensed by the Department of Financial Institutions. Some closings are handled by attorneys or by title company escrow departments.
Getting ready to list or buy?
Josh coordinates with trusted local title and escrow teams so deadlines, documents, and closing day stay on track. Start with The Barnard Group.
A typical timeline
- Mutual acceptance. The purchase agreement names the closing agent and title company.
- Escrow opens and title is ordered. Earnest money is delivered to the holder.
- Title commitment is issued and reviewed within the contract’s time frame.
- Loan approval and final numbers. Escrow prepares settlement statements for review.
- Signing, usually a few days before closing.
- Funding and recording. The lender funds, the deed is recorded, and the seller’s proceeds are released.
- Possession transfers according to the purchase agreement, which isn’t always the same moment as recording. A rent-back can change the timing.
Who pays for title and escrow?
In Washington, it’s customary for the seller to pay for the buyer’s standard owner’s title policy, the buyer to pay for the lender’s policy, and buyer and seller to split the escrow fee. Custom isn’t law: who pays is set by the purchase agreement and can be negotiated. For typical totals, see what it costs to sell in Pierce County and buyer closing costs in Pierce County.
Protect yourself from wire fraud
Real estate closings are a common target for scams that send fake wiring instructions by email. Before sending money, call your escrow officer at a phone number you’ve verified independently, not one in the email, to confirm the instructions. Be suspicious of any last-minute change to where funds should go.
Frequently asked questions
Are title and escrow the same company?
Sometimes they’re affiliated, but they’re separate roles. One insures the title; the other manages the closing.
Who chooses the title and escrow companies?
They’re named in the purchase agreement. Buyers and sellers agree on them, often with their agents’ recommendations.
When do I officially own the home?
Ownership transfers when the deed is recorded. Move-in timing depends on the possession terms in your contract.
Close with fewer surprises
Clear communication among agents, title, escrow, and lenders is what makes closing day uneventful. Book a complimentary strategy session with Josh Barnard and The Barnard Group before you list or buy.
This article is general information, not legal advice. Practices and fees vary; review your purchase agreement and closing documents carefully.
