Buying in Suttons Bay and wondering what “escrow” actually means for you? You’re not alone. Between earnest money, title commitments, inspections, and a remote closing, the process can feel like a maze. The good news is that once you understand the flow, escrow becomes a helpful guardrail that keeps your purchase safe and on schedule. In this guide, you’ll see the Michigan escrow process step by step for 49682 buyers, what timing to expect in Leelanau County, and how to avoid common delays. Let’s dive in.
Escrow in Michigan: Plain-English basics
In Michigan, escrow is a neutral third party that holds funds and key documents while your contract conditions are completed. The escrow holder is often the title company, though it can be an attorney or a brokerage trust account. They collect your earnest money, coordinate title work, manage closing documents, and disburse funds when everything is ready.
Your earnest money is the good-faith deposit you provide after your offer is accepted. It usually opens escrow and stays in a trust or escrow account until closing or until your contract says otherwise.
As your loan moves forward, the lender must provide a Closing Disclosure at least three business days before closing when federal mortgage rules apply. “Closing” is when documents are signed, funds are distributed, and the deed is recorded with the county.
Your Suttons Bay timeline from offer to keys
Every purchase is unique, but here’s a practical window of what many buyers experience in 49682. Seasonal demand, rural property features, and loan type can shift this a bit.
Day 0: Offer accepted
- You and the seller sign the purchase agreement. You deliver earnest money per your contract. Escrow opens with the designated holder, often a title company.
Days 1–3: File opened and lender started
- The escrow/title team opens your file and requests seller documents. You complete your mortgage application if you’re financing. The title company begins a preliminary title search.
Days 3–10: Inspections and contingency window
- You schedule the general home inspection and, for many Leelanau County homes, septic and well testing. Seven to fourteen days is a common inspection period unless you negotiated something different.
Days 7–21: Appraisal and underwriting
- Your lender orders the appraisal once your file is underway. Turnaround is often 7–14 business days, but unique or seasonal properties can take longer. Underwriting reviews your entire file and may request additional documents.
Days 7–21: Title commitment issued
- The title company delivers a title commitment, often within 7–14 days of opening escrow. You and your agent review it for easements, liens, taxes, restrictions, and any requirements to clear before closing.
Days 14–30: Clear conditions and finalize
- The seller and title company work to resolve title exceptions. You satisfy final lender conditions and review your Closing Disclosure at least three business days before closing if those rules apply. Any survey or access items are addressed.
Closing day: Sign, fund, and record
- You sign documents in person, by mail, or remotely if available and approved. After funding, the title company records the deed with the county. Keys and possession follow your contract.
Many Suttons Bay purchases close in about 30–45 days. Rural or seasonal properties and certain loan types can extend that timeline.
Earnest money and opening escrow
Your earnest money makes your contract real. The holder is identified in your purchase agreement. In Michigan, that holder can be the listing broker, your broker, an attorney, or most commonly the title company.
A few best practices help protect you:
- Verify payment instructions directly with the escrow or title company before sending funds. Wire fraud is real. Confirm details by a known phone number and never by email alone.
- Keep proof of payment and any receipts. Your lender and title company may request them.
- Know the contingency dates in your contract. Earnest money is handled according to those terms if you cancel for a covered reason.
Title commitment: what to watch in Leelanau County
A title commitment shows what the title company will insure and what must be resolved before closing. It lists the chain of ownership, recorded liens or judgments, easements, restrictions, and specific requirements for your policies.
In the Suttons Bay area, it’s common to see:
- Easements for utilities, shared driveways, or lake and road access.
- Questions around riparian or lake access rights, including association use or deeded frontage.
- Conservation or agricultural restrictions that affect building or land use.
- Unreleased prior mortgages or incomplete legal descriptions, especially on older rural parcels.
- Outstanding taxes or recorded municipal liens that must be cleared.
If something appears on the title commitment, the title company will outline steps to clear it. Some issues require seller action or additional endorsements. Complex title clouds can delay closing or require modified insurance coverage. Review your commitment promptly and ask questions right away so there’s time to resolve anything that surfaces.
Inspections: septic, well, shoreline, and more
Many homes in Leelanau County use private wells and septic systems. It’s common for buyers to include septic evaluations and well water testing in the inspection period. If the property is lakefront or has shore structures, add specialized inspections for decks, piers, or bulkheads.
Plan for the following:
- General home inspection within the 7–14 day contingency period.
- Septic system evaluation and, if recommended, a dye test.
- Well potability and water quality testing.
- Specialist checks for roofs, chimneys, shoreline structures, or outbuildings as needed.
Seasonal demand can make inspector schedules tight. If you’re out of state, authorize your agent to coordinate access and be ready to make quick decisions on repairs or credits based on the inspection reports.
Appraisals and underwriting in a rural, seasonal market
Appraisals in Suttons Bay commonly take 7–14 business days after the order, but timing can stretch when:
- Comparable sales are scarce, especially for lakefront or unique rural parcels.
- The property is a second home or has unusual features like multiple outbuildings.
- It’s peak season in Northern Michigan, which affects appraiser availability.
You can help keep things moving:
- Tell your lender early about waterfront, outbuildings, or multi-parcel details so the right appraisal type is ordered.
- Be responsive to underwriter requests. Title documents, surveys, or HOA statements can take time to gather.
- Expect “clear to close” to arrive in the week before closing once all conditions are satisfied.
Remote closings, mail-away signings, and POA
Many Suttons Bay buyers close from out of state. Options can include mail-away signings with a local notary, a limited power of attorney that lets a representative sign, or remote online notarization when accepted. Availability depends on your title company, lender, and local recording rules, so confirm your preferred method early.
Ask your closing team:
- Which remote signing options are available for your file.
- Any original document or notarization requirements.
- When funds must be received and how to verify wiring details securely.
Recording, funding, and possession
Your purchase becomes final after documents are signed, the lender funds the loan, and the title company records the deed with the county. Recording turnaround can vary by county and workload. Possession timing is contract specific. Some buyers receive keys at signing, others after recording or on a later possession date. Confirm your handoff plan with your agent and the title company so move-in plans line up with the actual timeline.
Practical checklist for 49682 buyers
Before or right after offer acceptance
- Provide earnest money per your contract and get your escrow contact details.
- Submit lender documents and set your remote signing plan if you cannot attend closing.
- Confirm with the title company who is acting as escrow agent and who will handle closing.
During inspections
- Schedule general, septic, and well inspections, plus specialists if needed for roofs, chimneys, decks, piers, or shoreline structures.
- Review the title commitment as soon as it arrives. Flag easements, liens, restrictions, or boundary items with your agent or attorney.
During appraisal and underwriting
- Respond quickly to lender and underwriter requests.
- Coordinate appraisal access and ensure the appraiser can reach the property and any outbuildings.
Before closing
- Review your Closing Disclosure carefully at least three business days prior if those rules apply to your loan.
- Confirm remote signing or power of attorney paperwork and notarization requirements.
- Verify closing funds and wiring instructions directly with the title company by a known phone number.
After closing
- Confirm recording of the deed and request your final closing statement and title policy.
- Save copies of recorded documents and confirm property tax proration and assessment details.
Common mistakes to avoid in Suttons Bay
- Waiting too long to schedule inspections during peak season. Local inspectors, appraisers, and contractors book quickly in spring and summer.
- Skimming the title commitment. Easements, access agreements, or restrictions can affect how you use the property.
- Not telling your lender about waterfront, multi-parcel, or outbuilding features. These can affect appraisal type and timing.
- Assuming keys transfer at signing. Possession depends on your contract and recording schedule.
- Sending funds without confirming wire instructions by phone with the title company.
What to expect on closing day
On closing day you’ll sign final documents in person, by mail, or remotely if approved. Your lender funds the loan once conditions are cleared. The title company records the deed with the county, and disburses funds according to the settlement statement. Keep your Closing Disclosure and final settlement statement for your records. Ask your agent when keys and possession happen for your specific deal so movers and deliveries arrive at the right time.
Ready to move forward?
Escrow protects your purchase by organizing money, documents, and deadlines so you can close with confidence. If you want a calm, well-timed closing in Suttons Bay, partner with a local guide who knows lakefront nuances, seasonal timelines, and the right questions to ask. Reach out to Amanda Theodoran to map your path from offer to keys.
FAQs
Who holds earnest money for a Suttons Bay purchase?
- In Michigan, earnest money can be held by the listing broker, buyer’s broker, an attorney, or most commonly the title company named in your contract.
When will I see the title commitment during escrow?
- Many buyers receive the title commitment within 7–14 days after escrow opens, but timing varies by file and local workload.
How long do appraisals take in Leelanau County?
- Plan for 7–14 business days after the order; unique or seasonal properties and peak seasons can extend the timeline.
Can I close on a Suttons Bay home from out of state?
- Often yes. Options include mail-away signings, a limited power of attorney, or remote online notarization when accepted by your title company and lender.
What inspections should I order for a Leelanau County home?
- A general home inspection plus septic evaluation and well water testing are common. Add specialists for shoreline structures, roofs, chimneys, or outbuildings as needed.
What happens if the title shows a lien or cloud?
- The title company lists steps to clear it, such as payoffs or releases. Significant issues can delay closing or require insurance adjustments if not resolved.
