Accepted Offer
Once the offer is accepted you will need to deposit an earnest money check at the Title Company (escrow). The amount of the deposit varies but is typically is between 1-2% of the purchase price and will be written into the contract. This money serves as a good faith commitment to the seller you are moving forward with the purchase with intent to close.
At closing this money is applied toward your down payment, closing costs, prepaid items or depending on your loan you may get it refunded to you. (this is not a guarantee). There are instances in which the earnest money will not be returned, such as you “change your mind” outside the timeframes in which the earnest money can be refunded.
Once the offer is accepted you will need to deposit an earnest money check at the Title Company (escrow). The amount of the deposit varies but is typically is between 1-2% of the purchase price and will be written into the contract. This money serves as a good faith commitment to the seller you are moving forward with the purchase with intent to close.
At closing this money is applied toward your down payment, closing costs, prepaid items or depending on your loan you may get it refunded to you. (this is not a guarantee). There are instances in which the earnest money will not be returned, such as you “change your mind” outside the timeframes in which the earnest money can be refunded.
