What is escrow financing? I have heard that contractors will do work for…

Credit and mortgage advice Forums Buying Your Home What is escrow financing? I have heard that contractors will do work for…

This topic contains 1 reply, has 2 voices, and was last updated by  Anonymous 7 years, 10 months ago.



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  • #207931

    Anonymous

    …you pending the sale of your home.? I am looking to have new carpets installed in my home before I put it up for sale and have heard that some contractors will do front end financing and will do the work and get paid when your home sells? Is this true? Has anyone had this done?



  • #281168

    Anonymous

    As a contractor, I have done just that. I have provided material and labor, and waited until closing to be paid. I would do this only with a written contract stipulating my payment by the closing agent. Typical escrow financing refers more to incomplete work. If I were building you a home, and you wanted to close the loan, any incomplete work would be assessed, and 1.5 times the value would be placed in escrow until the work was completed, thus protecting the homeowner against paying and not getting the work completed.

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