I've done dozens of deals through PayPal, mostly buys, and never had nor caused a problem. I've also made a few sales through PayPal.
If ther price is <$1,000 U.S. there's plenty of people in the domain industry that will forward payment without issue or concern about escrow.
It's good to be trusted, isn't it? I've sent and received substantial sums to and from all corners of the planet based simply upon telephone conversations, emails and sometime simply reputation. No escrow. Just reputation.
You see, somethings are worth a lot more than the value of the latest deal. Reputation is one of those things. The Web can do a great deal to raise or lower your reputation in no time at all.