No, the amount in escrow has not been used to pay deductible expenses yet.
Form 1098 from your mortgage company will include both Mortgage Interest and Property Taxes paid out of the escrow account. These are the amounts to enter in TurboTax.
Also, be sure to check your closing statement for any property taxes that were paid at closing. While you should not report the same amount twice (from 1098 and closing), you do want to report all the property taxes you paid during the year. Check with the title company that handled the closing if you need help.
The easiest way to find this section of TurboTax is to use the Search box at the top right side of the TurboTax header. Click on the magnifying glass, type in "property taxes", hit Enter, and click on "jump to property taxes" to go directly to beginning of this topic.
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