What are real estate escrow deposits? Who keeps them and who is entitled to them?
A real estate escrow deposit is the deposit that the buyer puts down for the purchase of a home. In Florida, a real estate broker or a title company real estate attorney can hold a deposit. It’s always best to have a real estate attorney holding the deposit, because they will act as both the title company and hold those deposits through the duration of the transaction. Once the transaction closes, that escrow deposit is credited towards the buyer’s funds. However, if a dispute arises between the buyer and the seller, those funds are held in the title company’s trust account, or the real estate attorney’s trust account, in order to handle the dispute. Oftentimes, lawsuits will arise regarding who’s entitled to those funds. That’s why it’s best to always contact an experienced real estate attorney in order to handle your real estate purchase and hold those escrow funds.