The escrow system was changed many months ago. The escrow NPC have no function any more. They are there to look pretty. In my personal opinion, Turbine should have removed the escrow NPC when the escrow functionality was removed.
The way it works now when you remove a house decoration that you do not own it goes into the house chest of the account that owner is a part of. If that account does not own a unlocked house, the owner can not recover it until a character on the account buys a house.
A similar process occurs when you abandon a home. All the contents of the house are placed in the house chest of the account. You want any of that stuff, you have to buy a house to get at it.
Unless stated otherwise, all content in this post is My Personal Opinion.