Understanding What Escrow Is

[Abdulmatin Sanni]

Hello, I need some clarification on what escrow means and when it comes into play, is the escrow period after the contract has been signed but before closing? and do all buying and selling real estate transactions involve escrow?

[Abdulmatin Sanni]

Quote from @Kimberly Beltran:

My home is in escrow now. I know I signed some disclosures, did a home inspection, an appraisal, and today the termite guy came. Im still waiting on an email from the escrow company for me to sign more stuff. Im in the same boat as you wondering what happens next. I know my home is "under contract" that's what it says on Zillow and I was told this process would take 3O days. Maybe a realtor can help us out on this one. Im not even sure if Im technically in escrow? 

Seems like you've completed the due diligence on the property, congrats on that, What I read online about being in escrow is slightly confusing but what I was able to somewhat understand is that escrow is the account that the money for a transaction is held before the agreement between the buyer and seller has been met. I still need someone well-versed to provide a better explanation though. Once again congrats on the home and I hope everything goes your way.