PriceProtect™
DriveShield™
GarageGuard™
Services
Insurance
Car Insurance
Compare Car Insurance with Jerry
Jerry’s Expert Advice
Car Insurance Estimates
Home & Renters Insurance
Renters Insurance
Loans
Car Loan
Compare Car Loans with Jerry
Jerry's Expert Advice
Car Loan Guides
Repairs
Car Repair Estimates
Repair Estimates for Popular Services
Advice
Read Car Content
Browse Jerry Car Advice
Check Out Expert Car QnA
Learn About How We Create Content
Jerry Data & Research
What is escrow on a house?
I’m trying to buy a home for the first time. I’ve been talking with realtors and lenders, and they keep throwing around the word “escrow,” which has me lost. What is escrow on a house?
Melanie Mergen · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
Congrats on becoming a first-time home buyer! When buying a home, an escrow protects both the buyer and seller by having a third party hold the account or money. Once the seller and buyer meet each of their obligations, the money is released, like how a trust works.
There are two main reasons why an escrow is used in the home buying process.
When you make an offer on a home, it’s common to pay a certain amount of earnest money to indicate to the seller that you’re seriously interested in purchasing their home. While you wait to hear back on that offer, that money will sit in an escrow account until you reach an agreement.
Throughout your mortgage, an escrow account holds funds for
homeowners insurance
and property taxes.Once you’ve found the right place and you’re ready to set up your homeowners insurance,
Jerry
can help you make the process easy. You can even bundle with your car insurance
for further savings. The Jerry app can collect quotes from top insurance companies, like Berkshire, State Auto, Safeco, and Travelers, in seconds.
View full answer
- Gregory R.
WHY YOU CAN TRUST JERRY
Jerry partners with more than 50 insurance companies, but our content is independently researched, written, and fact-checked by our team of editors and agents. We aren’t paid for reviews or other content.
Join 4M+ members in lowering their car insurance
You Might Also Be Interested
.webp&w=384&q=75)
Read Advice From Car Experts At Jerry
What Others Are Asking
.jpg&w=64&q=75){kind=avatar}
Browse More Content
Insurance for Your Car
Insurance in Your State
Easiest way to compare and buy car insurance
No long forms
No spam or unwanted phone calls
Quotes from top insurance companies
