What is earnest money?
Mary, from Lincoln Park

Earnest money is a deposit from the purchaser given at the time of the seller’s acceptance and held in an escrow account with the listing office or a title company. Often a buyer will place a $1000 check with the offer. The rest of the earnest money is due after the buyer and seller have signed the contract. Most buyers will put 5% of purchase price down. If the sale goes through the earnest money will be applied to the purchaser’s down payment.

Julie Varones