Term of the Month 📣
➡️ Escrow
In real estate, escrow is typically used for two reasons:
1️⃣ To protect the buyer’s good faith deposit so the money goes to the right party according to the conditions of the sale.
2️⃣ To hold a homeowner’s funds for property taxes and homeowners insurance.
Because of the different purposes served, there are two types of escrow accounts. One is used during the home buying process, while the other is used throughout the life of your loan.
