Okuzeka
Real Estate vocabulary · Contracts, Deeds & Title

Escrow

Meaning in real estate, with examples

/ˈeskroʊ/nounCommon term

In real estate, escrow means: An arrangement in which a neutral third party holds money or documents until all the conditions of a deal are met, then releases them to the right person.

In Turkish: emanet hesabı, escrow hesabı, yed-i emin

How it is used

Mainly American English. The earnest money goes into escrow, an escrow agent or title company manages the process, and the sale closes when escrow closes. After purchase, lenders may also use an escrow account to pay property tax and insurance.

Example sentences

  1. Your deposit will be held in escrow until closing.

  2. We're in escrow now, so the house is off the market.

Common collocations

  • hold in escrow
  • escrow account
  • escrow agent
  • close escrow
  • in escrow
  • earnest moneyA deposit a buyer pays soon after an offer is accepted to show they are serious. It is usually held by a third party and counted toward the price at closing.
  • closingThe final stage of a property sale, when the remaining money is paid, the documents are signed and ownership passes from the seller to the buyer.
  • titleThe legal right to own a property, together with the records that show who the owner is and whether anyone else has a claim on it.
  • purchase agreementA written contract between buyer and seller that sets out the price, conditions and dates of a property sale before ownership is transferred.

More terms: Contracts, Deeds & Title

Practise with graded reading

Reading at the right level is the fastest way to make new words stick. Pick free English books by level: