What is Earnest Money?
What is earnest money? The escrow deposit is also known as "the good faith deposit". It is typically 1-2% of the purchase price that you put down upfront to show the seller you are serious about the purchase. The higher the escrow, the more attractive the offer is to the seller.
Where does it go? As soon as we have an executed contract, you have approximately 3 days to get the escrow deposit to the listing brokerage. The brokerage holds it til closing, then it will be counted towards your balance due at closing. You can submit your escrow deposit by check, cashier's check, or wire transfer.