Escrow is a financial account that is shared between buyer and seller in which funds cannot be distributed without the consensus of both parties. In Mexico, the money is held in an account protected by a legal trust agreement.

The earnest money, or deposit (generally 10% of the transaction value), the balance due prior to closing, and the closing costs are sent to and held in this account. 

At closing, the buyer and seller approve the distribution of funds to all parties involved in the transaction. Once the transaction is complete, the notario sends the distribution of funds document to the escrow company and authorizes the release of the funds. The escrow company transfers the funds accordingly and sends proof of the transfers to the notario and agents involved.