The Earnest Money Deposit
Explanation in full
As with any endeavor, money talks when buying a house. Your earnest money deposit tells the seller that you are serious.
When you submit a written offer to a seller, you generally are required to include a deposit in the form of a personal check, cashier's check or cash. That deposit is called "earnest money" and it signifies to the seller that you are ready and willing to purchase his or her home.
How much earnest money should you give the seller? A good rule of thumb is 1% of the offered price, but the custom may differ in your part of the country, so consult with your agent.
The listing broker will hold your money in a special trust account until the transaction closes, at which time it will be applied to your down payment. If the seller doesn't accept your offer or if some condition of the contract is not satisfied, the listing broker will refund your money.
One word of caution: if you have a meeting of the minds with the seller and enter into a binding contract, you will be required to perform. Should you decide to walk away, you will lose your earnest money and perhaps worst.
Newest MLS Listings
Columbia SC Recent Million Dollar Homes for Sale as of July 28th 2014
Mon, Jul 28th 2014 8:15 am
Columbia SC Current Median Real Estate Listings for Sale as of July 23rd 2014
Wed, Jul 23rd 2014 8:45 am
Newest Entry Level Homes for Sale in Columbia SC as of July 21st 2014
Mon, Jul 21st 2014 2:00 pm
Single Family Homes for Sale in Columbia SC as of July 18th 2014
Fri, Jul 18th 2014 8:15 am
Recent Upscale Homes for Sale in Columbia SC as of July 16th 2014
Wed, Jul 16th 2014 8:30 am