What’s the Deal w/ Earnest Money?
What’s Earnest Money?
An earnest money deposit (also known as and earnest payment) is a good faith payment made by a potential purchaser to show he or she is serious about purchasing the property. If your offer is accepted by the seller, your earnest money becomes part of your down payment.
Your earnest money is generally due at the time you make an offer, or within a couple days after your offer is accepted. You should prepared to make this payment when you begin your home buying process.
In Georgia, a typical earnest money deposit is 1% of the purchase price, but some sellers, particularly relocation companies and institutions that manage foreclosed homes, may require more. If the seller does not accept your offer, you get your earnest money back. You can also get your earnest money back if you decide during your due diligence period that you do not want to purchase the property, or if you are turned down for a loan during your financing contingency period.
[su_note note_color=”#eeeeee”]Over the next couple weeks, we will be covering these contingencies in detail, so stayed tuned.
If you have any questions about Earnest Money or the Midtown Atlanta condo market in general, call the Midtown Condo Experts at CityMax Realty today! 404-926-6027[/su_note]