Escrow is a series of transactions with which a neutral third party collects, holds, and delivers funds from the sale of a home. Each state has different laws governing aspects of escrow, and the time it takes to approve funds in escrow varies depending on the circumstances of the purchase. In most states, escrow can close in 30 to 60 days on a completed home, though there are many situations that could increase that window. Some of the factors determining the length of escrow include mortgage pre-approval, underwriting guidelines, and if there are any contingencies and building inspections. When it comes to paying cash, a home can close much sooner. In some cases, if a home is still under construction, escrow will be dependent on either the completion and inspection of the home and/or the funding capabilities of the lender. Learn more about the escrow process.