There are multiple parties or principals in a transaction: the buyer, the seller, the lender, and the borrower.
Each party has different sets of instructions needed to be completed for the transactions to be completed.
The escrow gathers all this information in one central place, organizing it and checking for accuracy so the transaction can run smoothly.
Several of the duties may include: following a timeline of instructions by the party to meet deadlines, handling funds and documents, paying bills as authorized, responding to official requests for the principals, closing the escrow when all terms have been met.