Escrow is a legal arrangement whereby a thing (often money, but sometimes other property such as art, a deed of title, or software source code) is delivered to a third party (called an escrow agent) to be held in trust pending a contingency or the fulfillment of a condition or conditions in a contract. Upon that event occurring, the escrow agent will deliver the thing to the proper recipient, otherwise the escrow agent is bound by her or his fiduciary duty to maintain the escrow account. Read more on escrow process
Real Estate News for YOU:
Dubai International Financial Centre to Buy Dubai Real Estate (Bloomberg)
Oct. 5 (Bloomberg) -- DIFC Investments, a unit of Dubai International Financial Centre that owns stakes in firms including Deutsche Bank AG, said it will start a fund to invest in real estate in Dubai and the United Arab Emirates.
Market Wire - Baja Mining Closes Transaction With Korean Consortium in Escrow
June 3, 2008 -- Baja Mining Corp. (the "Company" or "Baja") (TSX: BAJ) is pleased to announce that the transaction with the consortium of Korean companies led by...
German Government Leads Talks for Hypo Real Estate Bailout (Bloomberg)
Oct. 5 (Bloomberg) -- The German government led talks to salvage a 35 billion-euro ($49 billion) bailout plan for Hypo Real Estate Holding AG today after the ailing property lender said commercial banks withdrew their support.
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Escrow is not just a term for real estate. While escrow is best known in the context of real estate, escrow companies are also commonly used in the transfer of higher value properties like websites and businesses. It is even used in auction sites where two parties unknown to each other are making a transaction and there is no previous history.
In addition there can be lawyer transactions with clients that involve escrow.
Real estate agents are in some jurisdictions considered to act as escrow agents when they accept deposits for the purchase of real property.
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