Seller’s Escrow Account with sub 2 deals??

[Ryan Johnston]

In a Subject To transaction, how do I handle the seller’s escrow account? In particular, what happens when I am doing a short term purchase, for a flip or wholetail, and I’m going to be crediting my end buyer with taxes but won’t be getting the balance in the escrow account to cover them - as I understand it, that money reverts to the name on the loan, that is, the original seller.

I’m sure I’ve got my logic mixed up somewhere - could someone shed some insight on that?