What escrow actually is
Escrow is a neutral third party — in California, usually an escrow or title company — that holds the money and documents while both sides perform their obligations. Neither the buyer nor the seller touches the funds until every condition of the contract is met; then everything transfers at once. “Opening escrow” starts when the offer is accepted; “closing” is the day the deed records and keys change hands.
The timeline, week by week (typical 30–45 day financed purchase)
- Days 1–3: escrow opens. Buyer's deposit (“earnest money”) goes into the escrow account; escrow instructions and disclosures start moving.
- Week 1–2: inspections. Home, roof, and any specialty inspections, plus the buyer's review of disclosures and reports. California contracts commonly give buyers around 17 days for investigation contingencies, though the parties can negotiate any length.
- Week 2–3: appraisal. The lender's appraiser confirms the home's value supports the loan. A low appraisal is one of the most common renegotiation points.
- Week 3–5: loan underwriting. The lender finalizes the file — California contracts commonly give the loan contingency 21 days by default. Respond to document requests same-day if you can; this stage is where most delays live.
- Final week: closing. Contingencies are removed in writing, the buyer wires the down payment, loan documents are signed with a notary, the lender funds, and the county records the deed. Recording is the finish line.
What most often delays closing
- Slow responses to lender document requests (the #1 avoidable delay)
- Low appraisals and renegotiation
- Repair negotiations after inspections
- Title surprises — liens, judgments, or ownership questions that must clear first
- Buyer financing changes — new debt, job changes, or big deposits during escrow
The single best thing a buyer can do inside escrow: change nothing about your finances, and answer your lender the same day they ask.