What is Escrow?
An escrow is an arrangement in which a neutral third party (the escrow company) holds funds and documents, ensures that all terms of the agreement are met, and then disburses the funds and transfers ownership according to the escrow instructions.
Why do I need Escrow?
Whether you are a buyer, seller, lender, or borrower, you want the assurance that no funds or property will change hands until all transaction instructions have been satisfied. The escrow holder is responsible for safeguarding the funds and/or documents in its possession and for disbursing funds and/or conveying title only after all escrow provisions have been fully complied with.
