How Escrow Works in San Francisco

Buying in San Francisco comes with its own rhythm, especially once your offer is accepted. If you are wondering what happens between acceptance and getting the keys, you are not alone. Escrow can feel like a maze the first time through, and timing details matter in this market.

In this guide, you will learn how escrow works in San Francisco from the day your offer is accepted through recording. You will see typical timelines, what to look for in title reports and HOA packets, how contingencies work, and where delays usually happen. Let’s dive in.

Who is involved in SF escrow

Several professionals move your purchase from contract to close. Knowing their roles helps you track progress and spot bottlenecks.

• Buyer and seller, and their agents. Your agent coordinates inspections, disclosures, contingency deadlines, and day-to-day communication with escrow, title, and your lender.
• Escrow holder or escrow officer. A neutral third party who opens escrow, receives your deposit, prepares instructions, handles funds and documents, and requests recording at close.
• Title company and title examiner. They perform the title search, issue the preliminary title report, and provide title insurance that protects you and your lender from covered title defects.
• Lender. If you are financing, your lender underwrites the loan, orders the appraisal, issues final approval, and funds at closing once conditions are met.
• HOA or association manager. For condos and other common interest developments, the association provides the resale packet, budgets, CC&Rs, minutes, and disclosures.
• San Francisco County Recorder and Assessor. The county records your deed and collects the municipal transfer tax and recording fees at closing.

Key documents include the purchase agreement, Transfer Disclosure Statement, Natural Hazard Disclosure, the preliminary title report, inspection reports, appraisal, HOA resale packet for condos, loan documents, and the deed. For TICs, expect a TIC agreement and related occupancy documents as well.

The escrow timeline at a glance

A typical financed escrow in San Francisco runs about 30 to 45 days. All-cash closings can be as quick as 7 to 21 days. Complex financing or a sale contingency can extend timelines to 45 to 60 days or more. Your exact schedule is set by your purchase agreement and negotiations.

Day 0 to 1: Open escrow and deposit

• You and the seller sign the purchase agreement and open escrow.
• You wire the earnest money deposit to escrow using verified instructions.
• Escrow assigns a file number and orders the preliminary title report.
• If you are financing, your lender opens the loan file and requests your documents.

Days 1 to 7: Disclosures and early orders

• The seller delivers required disclosures such as the Transfer Disclosure Statement and Natural Hazard Disclosure. Condo sellers also request or deliver the HOA resale packet.
• Title provides the preliminary title report. Review exceptions and any liens with your agent and title officer.
• Your agent schedules inspections. Common first steps include a general home inspection plus roof, pest, and sewer inspections if appropriate.
• The lender orders the appraisal, often in parallel with inspections.

Days 3 to 17: Inspections and HOA review

• You complete inspections, then decide whether to request repairs or credits.
• You review the HOA packet for budgets, reserves, insurance coverage, meeting minutes, special assessments, and restrictions.
• If documents reveal issues, you can negotiate solutions or exercise contingencies, depending on your contract.

Days 10 to 30: Appraisal and contingency decisions

• The appraisal is completed and sent to your lender. Underwriting reviews your file.
• You remove contingencies in writing per your contract deadlines. Common ones include inspection, loan, appraisal, HOA review, and title review.
• Title works with escrow and the seller to resolve liens, judgments, or other exceptions before closing.

Days 17 to 45: Final approval and signing

• Once underwriting conditions are satisfied, your lender issues clear to close.
• You receive your Closing Disclosure at least three business days before signing.
• Escrow prepares your settlement statement and closing package. You sign documents and wire remaining funds.

Funding and recording: Keys and possession

• The lender funds the loan and escrow confirms all funds are in.
• Escrow authorizes title insurance policies and sends the deed to the San Francisco County Recorder for electronic recording.
• Transfer tax and recording fees are paid, escrow disburses funds, and you receive keys as agreed in your contract once recording is confirmed.

Title, condo HOA, and TIC specifics in SF

San Francisco properties often come with details you will want to catch early. Here is what to focus on.

What to look for in the preliminary title report

The preliminary title report lists recorded matters such as mortgages, tax liens, judgments, easements, covenants, and municipal liens. In San Francisco, it is common to see utility or party wall easements and older recorded items. You will want to clear or accept each exception before title insurance is issued.

Review the prelim with your agent and title officer. If anything is unclear, ask for recorded documents or clarifications. Addressing exceptions early helps prevent last-minute delays.

Reviewing condo HOA resale packets

California’s Davis-Stirling Act governs HOA disclosures. The resale packet typically includes CC&Rs, bylaws, budgets and financials, reserve study, insurance summary, meeting minutes, and details on any pending or approved special assessments.

Pay close attention to:

• Reserve funding versus long-term repair needs.
• Any special assessments or planned projects that may add costs.
• Litigation, insurance coverage, and deductible structure.
• Rental restrictions, short-term rental rules, and move-in fees.

If your lender reviews the packet too, build in time for questions. HOA packets can take a week or more to assemble, so requesting them on Day 1 is smart.

TIC purchases and financing in San Francisco

A Tenancy in Common is not a condo. TIC owners hold a fractional interest in the whole building, with separate occupancy agreements that define use and responsibilities. Not all lenders finance TICs. Underwriting can be more restrictive and can take longer.

Review the TIC agreement closely. Confirm transfer and approval procedures, financing rules, insurance structure, and how building-wide obligations are handled. Local rent control and other city rules may affect TICs, so factor that into your diligence and timing.

Assessments and retrofit obligations

In San Francisco, seismic upgrades such as soft-story retrofits and other building work can lead to special assessments. Review Department of Building Inspection records when available and scan HOA minutes for pending projects. Sellers must disclose approved assessments, and you should budget for potential capital work when reserves are low.

Contingencies and typical timing in SF

Contingencies protect you by giving time to verify information and secure financing. Actual deadlines are negotiated in your purchase agreement. Here are common ranges you will see in San Francisco:

• Inspection contingency: often 7 to 14 calendar days. You can shorten this window in a competitive offer, but that raises risk.
• Specialized inspections: roof and sewer scopes often run in parallel with the general inspection during the same window.
• Pest or WDO report: common in SF and sometimes required by lenders. Clearance may be needed before close.
• Loan contingency: often 17 to 21 calendar days, adjusted by lender speed and loan type.
• Appraisal contingency: typically returns within 7 to 14 days after ordering. Some contracts tie this to the loan contingency.
• HOA document review contingency: usually 3 to 10 days after you receive the full packet. Packet preparation can take 7 to 14 days or more.
• Title review contingency: commonly 5 to 10 days after the prelim is issued.
• Sale of buyer’s property contingency: timing varies and can be less competitive in SF. Use only when needed and supported by the seller.

You remove contingencies in writing. If a report or document reveals a problem, you can negotiate credits, repairs, or timeline extensions, or you can exercise your rights under the contingency to cancel, all according to the contract.

How a strong SF agent keeps escrow on track

A proactive agent can save you time and reduce risk by anticipating bottlenecks. Here is how your agent should run point:

• Open escrow and confirm your deposit is received on Day 1.
• Order the preliminary title report and HOA documents immediately and follow up until complete.
• Schedule inspectors within 24 to 72 hours and coordinate access.
• Push for early appraisal ordering and provide the appraiser with relevant comparable sales and context.
• Review the prelim with you and flag any liens or irregularities early.
• Track all contingency deadlines in a shared timeline and send reminders.
• Confirm signing logistics and review wiring procedures. Wire fraud risk is real, so always verify instructions by phone using a known number.
• Explain SF-specific issues such as transfer tax, earthquake coverage, soft-story assessments, and HOA reserve strength.

Common delays and how to avoid them

Several issues can slow a San Francisco closing. Plan for these and you will reduce surprises.

• HOA packet delays. Managers often need time to assemble the full packet. Request it on Day 1 and keep following up.
• Title issues. Old liens, unreleased loans, or heirship questions can take time to clear. Start working them immediately.
• Appraisal delays or low valuations. Unique properties and micro-markets can challenge appraisers. Early ordering and good data help.
• Underwriting documentation. Last-minute income or asset verification can push back clear to close. Send requested items fast and in full.
• Permits and building violations. Open permits or unpermitted work may require remedies. Inspectors and title can surface these mid-escrow.
• Recording logistics. Transfer tax or fee miscalculations can slow recording. Verify closing figures ahead of time.

Practical tips for SF buyers

Use this quick checklist to move smoothly from offer to keys.

• Ask your agent and lender for a realistic escrow length for your specific property and loan type.
• Schedule inspections fast and insist on early delivery of the prelim and HOA packet.
• Read the HOA minutes and reserve study. Clarify any planned projects or assessments.
• For TICs, confirm financing options early and review the TIC agreement with a pro.
• Budget for SF transfer tax and recording fees as part of your closing costs.
• Verify all wire instructions by phone with escrow or title using a trusted number.
• Keep your loan file current. Respond to lender requests quickly to avoid delays.

What happens on closing day

On closing day, your lender funds the loan and escrow confirms all funds have cleared. Escrow instructs title to issue policies and sends the deed for recording with the San Francisco County Recorder.

Once recording is confirmed, escrow disburses funds, pays off any liens, and closes the file. You receive keys and possession per your contract. Celebrate, then keep your closing package somewhere safe for tax and insurance records.

Ready to move forward with confidence in San Francisco? Work with a local team that runs a tight, transparent process and knows how to manage multi-step transactions. Connect with Victor Makras to set your escrow up for success.

FAQs

What does “escrow” mean in a San Francisco home purchase?

• Escrow is a neutral process run by a licensed escrow holder who manages funds and documents, follows your signed instructions, and coordinates recording to transfer title at closing.

How long does escrow usually take in San Francisco?

• A conventional financed purchase often takes 30 to 45 days. All-cash closings can take 7 to 21 days, and complex financing can extend to 45 to 60 days or more.

What is in a preliminary title report and why does it matter?

• The prelim lists recorded liens, easements, and other exceptions that affect ownership. You review and clear issues before title insurance is issued and before you close.

What should I review in a condo HOA packet?

• Check budgets, reserves, insurance, meeting minutes, special assessments, and restrictions. Packet preparation can take a week or more, so build time into your contingency.

How are TICs different from condos during escrow?

• TICs involve fractional ownership with occupancy agreements. Financing options can be limited, underwriting may be stricter, and escrow may take longer than a comparable condo.

When do I receive the Closing Disclosure for my loan?

• You receive the lender’s Closing Disclosure at least three business days before you sign the final loan documents, provided your file is clear to close.

When do I get keys to my San Francisco home?

• You get keys after the deed records with the San Francisco County Recorder. Recording is typically the same day or within one to three business days after signing.