A deposit of earnest money is part of most real estate purchase and sale agreements. As the buyer you offer to deposit money, in earnest, towards the purchase of the property you have chosen. The money is in the form of a personal check, bank wire, or cashier's check made payable to the escrow company managing the transaction. The escrow company makes the funds liquid and holds them in an escrow trust account that is applied to the sale at closing.
How much money you put forward toward the sale price depends on many factors, including but not limited to the purchase price, the area, the type of offer, or other circumstances that may apply to your transaction.
People often bring their own understanding and past experience to the process. It's very helpful to discuss your thoughts and experiences with your Realtor® during the process, so that the amount of earnest money you propose to bring to the table will be attractive to the seller. In our market, we often see earnest money in the range of 1-2% of the purchase price deposited into the escrow account.
RE/MAX NORTHWEST REALTORS
Phone: (360) 774-1441
Each office independently
owned and operated