How to Make Your Seller Feel Safe With Escrow

The idea of entering into an agreement with an unfamiliar buyer can feel risky. That’s where escrow comes in. Handled the right way, escrow builds trust, removes fear, and helps your seller feel confident taking the next step.

Blogs

May 23, 2025

Selling a property isn’t just a financial transaction. It’s an emotional decision.

Especially for motivated sellers under stress, the idea of entering into an agreement with an unfamiliar buyer can feel risky. That’s where escrow comes in.

Handled the right way, escrow builds trust, removes fear, and helps your seller feel confident taking the next step. In this article, we’ll break down how to explain escrow clearly, what objections to expect, and how to use this part of the process to win more deals.

What escrow actually is (and why it matters)

Many sellers have heard the term escrow, but few actually understand what it means. That creates friction, because people rarely say yes to something they don’t fully grasp.

Here’s how to explain it in plain English:

Escrow is a neutral third party that holds the money and paperwork while everyone does what they agreed to.

No money changes hands until all conditions are met. The seller isn’t signing their house away. You aren’t putting down money that disappears. Escrow is there to protect both sides.

The trust factor: Why sellers hesitate to commit

Motivated sellers are often skeptical. They may have been burned before, or they might just be unfamiliar with how off-market deals work. Some common thoughts:

  • “How do I know you’re serious?”

  • “What if I sign and then you disappear?”

  • “Why do I need to do this if I’m not getting paid today?”

These aren’t objections, they’re fears.

When sellers ghost or stall after receiving the contract, it’s usually not because of the price. It’s because they don’t feel safe.

How to position escrow as their protection, not yours

If you explain escrow like a legal step that helps you, you’ll lose the deal. Instead, frame escrow as the seller’s safety net.

Try this script:

“The only reason we use escrow is to make sure everything happens exactly the way we both agreed. They hold everything, your paperwork, my earnest money, and they don’t release anything until all conditions are met. So if I don’t do what I said, nothing moves forward. You’re fully protected.”

This shifts the power dynamic. Instead of seeing the contract as a risk, the seller sees it as a way to regain control.

What to say when they don’t want to sign yet

Sellers sometimes hesitate to sign because they think signing equals closing. Your job is to separate those ideas.

Here’s how to respond:

“Just so you know, signing the contract doesn’t mean we’re closing right now. It just locks in the agreement so escrow can start. You still have full visibility and flexibility throughout the process. Nothing gets finalized until everything checks out and you’re ready to move forward.”

This reduces the emotional stakes and reframes signing as a start, not an end.

Visual tools that help sellers feel more secure

When explaining escrow, use visuals to back up your words. This builds confidence and positions you as a pro.

Here are three simple tools to include:

  • Net sheet: Show the seller what they’ll walk away with after all expenses.

  • Timeline: Outline exactly what happens and when, from signing to closing.

  • Escrow contact: Give them the name and number of your escrow officer (or let them choose their own).

These small details make the process feel real and safe, not abstract or suspicious.

Common objections, and how to handle them

Here’s how to handle some of the most common concerns sellers bring up around escrow:

“I want to talk to my attorney first.”

“Absolutely, I’d do the same in your shoes. We’ll send everything to you first so you can have it reviewed before anything moves forward.”

“I’m not ready to sign until I know when I’m moving.”

“Totally fair. That’s why we set a flexible close date. Once we open escrow, we’ll confirm the timeline together and move at a pace that works for you.”

“Why can’t we just do this without a contract?”

“Because if we skip that step, there’s no way to guarantee you get your money and I get the property. Escrow protects us both. It keeps everything on track and transparent.”

Escrow and creative finance deals

If you’re doing subto, novations, or lease options, the role of escrow becomes even more important. These aren’t typical transactions, so sellers may be extra cautious.

Here’s what to clarify:

  • The contract outlines the exact terms (including who’s responsible for what).

  • Escrow ensures the seller doesn’t lose the title or possession until the agreed-upon steps are completed.

  • If there’s a mortgage, escrow can include lender communication, payoffs, and transfer logistics.

Let the seller know escrow isn’t just for cash deals. It’s how all legit transactions are closed, including creative ones.

When to walk away

If a seller refuses to use escrow, it’s often a red flag.

Yes, they might just be misinformed, but if they’re unwilling to talk, listen, or review a contract with neutral oversight, the risk to you skyrockets.

Use this line to protect your time:

“If you’re looking for a handshake deal without paperwork, I totally respect that, but I can’t do business that way. I only do deals where both sides are protected.”

This preserves your professionalism and filters out the wrong fit.

Key takeaways: How to get sellers to say yes with confidence

  • Don’t skip the explanation. Most sellers won’t tell you they’re confused. They’ll just delay. Explain escrow up front.

  • Use plain language. Drop the jargon. Speak to emotions, not just facts.

  • Position escrow as their protection. It’s not for you, it’s for them.

  • Use visuals. Timeline, net sheet, and contract overview make it real.

  • Handle objections with empathy. Acknowledge fears and answer calmly.

  • Always include escrow in your process. It keeps things clean, safe, and professional, for you and for them.

Conclusion

Want to make your offer feel safer and more professional to sellers? Goliath gives you the tools to track every conversation, send pre-built follow-ups, and automate your pipeline, so you can get more contracts signed without pressure.

Power up your pipeline with Goliath.

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Discover

Join Thousands Of Satisfied Operators

Discover why top teams rely on Goliath to find motivated sellers. Get everything you need to prospect, nurture, and close more deals.

679

Live Users

$
23
M

Closed Deals

11
%

Satisfaction Rating

11
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Markets Live