What Are Escrow Instructions?
By JC Pacific Corp Published 2026-09-01 Last professionally reviewed: September 2026
Escrow instructions are written directions authorizing the escrow holder to perform specified tasks and complete the transaction when stated conditions are met.
What May They Address?
- Purchase price
- Deposits
- Loan proceeds
- Payoffs
- Title requirements
- Prorations
- Fees
- Documents
- Recording
- Disbursement
- Vesting
- Closing
- Other authorized matters
Are Escrow Instructions the Purchase Contract?
They are related but not identical. Escrow instructions help implement the transaction and should remain consistent with the purchase agreement and authorized amendments.
Read Before Signing
Check:
- Names
- Property address
- Purchase price
- Deposit
- Loan amount
- Credits
- Charges
- Closing date
- Vesting
- Payoff information
- Special instructions
Frequently Asked Questions
Can escrow add a term the parties did not negotiate?
Escrow should act within authorized instructions. Question anything that does not match the purchase agreement.
Can instructions be changed?
Changes generally require appropriate written authorization.
Should I sign if I do not understand a paragraph?
Ask for an explanation and obtain legal advice when necessary.
Do not sign escrow paperwork as though it is merely administrative.
Wire-fraud warning
Always verify wire instructions by telephone using a known, independently confirmed number. Never rely on email instructions alone. If you suspect fraud, contact your bank, escrow, your agent and law enforcement immediately.
Read our wire-fraud protection guideRelated guides
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JC Pacific Corp is an Irvine-based Southern California brokerage helping buyers navigate offers, escrow, and financing. Tell us what you are looking for and we will point you to current options across the region.
A note on legal advice: These guides provide general, educational information about California real estate practice. They are not legal advice and do not create an attorney-client relationship. Mortgage information is general education, not individualized lending, tax or legal guidance. For advice about your specific offer, contract, closing or financing, consult a qualified California real estate attorney and a qualified mortgage professional.