- An account in which a neutral third party holds the documents and money in a real-estate transfer until all conditions of a sale are met. Also, an account in which money for property taxes and insurance is held until paid; money is added to the account every time a mortgage payment is made.
bond, guarantee, reliable, neutral, promise, third-person, confidence
Related Terms and Acronyms
- Conditional Sale (C/S) — Acronym,
- An agreement between the buyer and seller in where certain conditions must be met before the property sale can be finalized.
- Escrow Agent — Definition,
- A neutral third party who holds the documents and money in a real-estate transfer until all conditions are met.
- Trust Account — Definition,
- An account used by a law firm or real estate agent to handle earnest money, funds set aside for repairs and other money that the buyer and seller put up before closing.