Buying a house is often the most important financial transaction of your life, as well as one of the most exciting and stressful. While many aspects of the home-buying process leave buyers confused, the escrow process is often at the top of the list for many. While the escrow process can seem mysterious and convoluted, it is the most commonly used procedure by which real estate is bought, sold, and refinanced in California.

An escrow account provides protection for the seller, buyer and lender in a real estate transaction. It does this by ensuring that no funds or property will be transferred until every escrow term and condition have been met.