What is earnest money?

What is earnest money and why do you need it? Earnest money is the money that you put down when you are making an offer on a piece of property to show your good faith. If your offer is accepted, then the earnest money becomes part of your down payment or closing costs. If your offer is rejected then your money is returned to you. If your offer is accepted and then you decide to back of out of the contact, you may lose your earnest money. Consult with your REALTOR® to discuss your options & potential liability before making an offer.

Tags: crane & associates realty, home buying tips, home selling tips, kenai peninsula real estate, Kenai Real estate, Soldotna real estate

This entry was posted on Friday, May 9th, 2008 at 4:05 am and is filed under Buyers Tips. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.