(2.) When a buyer makes an offer on a property and the seller then accepts that offer, the buyer is expected to back up their offer with a specific amount of money (amount usually determined by the seller.) Once certain conditions are met, (i.e. the buyer getting approved for a loan to complete the property purchase, the sale of another house in order to pay off an existing loan on another property) the third party escrow agent gives the cash deposit to the seller to complete the transaction and secure the sale.