When can disbursements from the escrow usually commence after delivery?

Disbursements from the escrow usually commence after inspection passes because this step is critical in ensuring that all agreed-upon conditions are met before funds are released. The inspection serves to confirm that the property aligns with the terms of the sale and is in satisfactory condition. This process protects the interests of both the buyer and seller, ensuring that the buyer receives a property that meets their expectations and that the seller receives payment only after the buyer has acknowledged satisfaction with the property's condition.

While other options mention possible scenarios related to disbursement, they do not guarantee the same level of assurance regarding the property's condition. Immediate disbursement after delivery could lead to potential disputes if issues arise later. Similarly, while legal documents are important for the transaction, they alone do not ensure that any conditions related to the property's condition or specific contingencies have been fulfilled. Hence, confirming that the inspection passes is a fundamental prerequisite to commencing disbursements from the escrow.