“All about earnest money”
When purchasing a home, you will have to put down an earnest money deposit (EMD), also called a good faith deposit. This shows the seller your “earnestness” about buying their property. The EMD protects the seller if the buyer backs out for a noncontingent reason: the seller gets to keep the EMD as compensation. It also prevents the buyer from making offers on other homes after their first offer has been accepted. If the deal falls through due to a contingency in the sale contract, the buyer gets their EMD back. The EMD is held in escrow during the transaction and applied toward the buyer’s down payment at closing. EMDs are typically between 1% and 3% of the sale price.
Our wide-ranging experience can be invaluable during your buying or selling real estate process. Knowledgeable assistance in dealing with a multitude of details is crucial during this time, and you can be assured that we will be with you all the way. We’ve been in the business of helping buyers and sellers make a good decisions for 60 years, and we’d like to help you too. Calling us for an appointment is a good start!
“OUR SUCCESS HAS BEEN BUILT ONE SATISFIED CUSTOMER AT A TIME.”
