The collection, holding, and delivery of documents and monies by a neutral third party in accordance with dated, written instructions from the principals to a transaction.

Having a neutral third party allows all the principals to a transaction to handle the transaction in more convenient time frames. Many real estate sales and refinances handled in other areas of the country do not have escrow. It is then necessary for all the parties to be in one room at one time in order to protect their interests. With an escrow, however, the parties may execute their respective documents and instruct the escrow when the documents may be used.

The escrow becomes a central depository. Escrow agents are neutral. With the exception of certain statutes which require them to take specific actions, the escrow officers simply follow the directions of the principals to the transaction - the buyer, borrower, and seller. Escrow officers do not give legal advice. They do not determine if a transaction is "wise". They do not resolve disputes between the various parties. They simply follow the instructions of the principals: which instructions MUST be "consistent" (all parties must give the same instructions).