The seller is requesting earnest money. How does that work?
Earnest money is something you put down on a home to hold it for you. It shows the seller that you are serious about buying the home. The easiest to look at this money is as a deposit on the house. You put the money down and when you buy the house, you get it back. If you decide later not to buy the house, the earnest money goes to the seller of the house for the seller’s lost time and effort, and you do not get it back. If you are putting down earnest money, make sure that it is the right house for you and you have been approved for financing.
