Earnest Money Matters

Slow down! We get it— you’ve finally found the home that checks every box on your wish list. You can already picture yourself sipping coffee on that sun-drenched porch and arguing lovingly over which wall gets the big TV. But before you pop the confetti and make your offer official, there’s one important step that shows you mean business: earnest money.

What Is Earnest Money?

Think of earnest money as the real estate version of a pinky promise—but instead of fingers, you’re putting actual cash on the line. It’s a deposit you provide when signing a purchase agreement to show the seller you’re fully committed to buying the home.

Why Earnest Money Matters

1. Shows You Mean Business

Anyone can say they want a home, but earnest money proves you’re not just browsing—you’re ready to move in and claim your new address.

2. Gives the Seller Confidence

A deposit signals that you’re serious. Sellers are more likely to take their property off the market and trust that you’ll follow through on the purchase.

3. Protects You, Too

If something goes sideways for reasons spelled out in your contract—like a failed inspection or financing hiccup—you can often recover your earnest money.

How Much Are We Talking About?

This varies by market, but a typical range is 1%–3% of the home’s purchase price. For example, on a $300,000 home, that’s $3,000–$9,000. Don’t stress—it’s not an extra cost. This money usually goes toward your closing costs or down payment.

What Happens If You Walk Away?

If you back out for a reason not covered in your contract, the seller may keep your earnest money. In other words, don’t ghost your real estate deal—treat it like the serious commitment it is.

Green Light to Go Full Speed Ahead

At Your Home Sold Guaranteed Realty – Premier Properties, we see earnest money as your way of saying, “I’m not just window-shopping—I’m ready to make this happen.” It’s a small step that makes a huge difference, helping you lock in your dream home and reassuring the seller that you’re a serious buyer.

With guidance from Premier Partners, we’ll walk you through every step—including using your earnest money strategically—so you can move confidently from just looking to just moved in.