In Escrow


DEFINITION of 'In Escrow'

An item such as money or a piece of property that has been transferred to a third party with the intentions of delivery to a grantee as part of a binding agreement. Valuables in escrow are delivered, generally by an escrow agent, to a grantee upon satisfaction of outlined terms.


Escrowed items are most commonly found in real estate transactions. Property, cash and the title to the property are often held in escrow until all specified conditions are met, and transfer of ownership can occur. Lawyers will most commonly act as escrow agents in such situations.

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