Escrow & Ethics

It seems whenever I deal with big brokerage agents, an Affiliated Business Disclosure is incorporated. What's that? A form which usually indicates the brokerage owns a piece of the escrow and/or title company.

I've never known there to be outright kickbacks, favoritism, or hanky-panky, still I don't like it. It has the appearance of impropriety. Escrow is supposed to be a neutral, third-party. Not an affiliated interest with a spoon-fed referral pipeline.

I mean what if the appraisers worked for the agents, then there'd never be a failed appraisal ever! What if the home inspectors were employed by the listing agents, likely the reports would be softened. I don't mean to suggest an inherent conflict, it's just--they're holding the money!



Fortunately, I have no office mandate. I use an escrow with experienced people, and close to my residence, so I can deliver documents, do things face-to-face, or drop-in on short notice.

I should probably think more about things like vertical integration, maybe I'd be a better American