Home Buying in 75007>Question Details

Marcus, Home Buyer in DFW

What is a typical earnest money amount for Carrollton 75007 market?

Asked by Marcus, DFW Fri Jan 25, 2008

Specifically, for homes in the $160-$200k range? And - can it be less if the home has been on the market for awhile, say over 4 months or more? A ballpark figure is fine. Thanks for any input.

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Typically earnest money is 1% of the sales price... but when I represent the buyer I usually put down as little as possible to protect the buyer in case they have to lose that money but I prepare my buyers to go up to the 1% if the sellers counter.

For a house priced under 100K... I suggest 500
100-150K I suggest $1000
150-200 I go with 1500
etc.

Your earnest money is refundable 100% if you terminate during the option period. It is also 100% refundable if you are not qualified for a loan and are still within your contingency period.

So, if you are making a lowww offer, and feel that your financing is strong, I would recommend that you put extra money down for earnest money to make your offer stand out.

You can also put $1000 earnest money at the time of the contract execution and put an additional 1000 when the house passes inspection. It's all negotiable as Carlos says.
Web Reference: http://www.sumnerrealty.com
1 vote Thank Flag Link Fri Jan 25, 2008
I would recommend at least $1,000 in that range but of course it is fully negotiable. It will also vary if there are multiple offers, you may want to make it stronger etc..
Web Reference: http://www.CarlosDFW.com
1 vote Thank Flag Link Fri Jan 25, 2008
It depends what is negotiated between the buyer and seller. Nothing is standard in real estate.
0 votes Thank Flag Link Tue Apr 23, 2013
When you are thinking of earnest money, starting around 1% is a good start. If you are financing the sale, heavy earnest money, while looks great does not include your down payment or closing costs. If you are a cash buyer, then more earnest money speaks volumes to intent.

Attend my monthly 1st Time Home Buyer Workshop.

Kathy Hines/Broker
Keller Williams
0 votes Thank Flag Link Wed Feb 6, 2013
Typical Earnest Money down is 1%-2% of sales price. The more Earnest Money the Buyer puts up the more serious they look to the Seller.
0 votes Thank Flag Link Wed Jan 30, 2013
If the seller really needs to sell, tell them you will put $200 down or $1,000 down refundable for any reason. That will give them the choice and they will always ask for the 1000 because it is more, but you can take it whenever you need it.
Web Reference: http://www.homeferret.com
0 votes Thank Flag Link Mon Jan 28, 2008
It really depends on the offer and the house. Typical is about 1%, so $1500-$2000 to show you are serious. You may want to offer more if you think there is competition or other offers on the house. If you are trying to buy the house with zero down and you don't think there are other bidders, then you might try $500 or so. Your realtor can help guide you with the right choice. If you don't have a realtor and need assistance making the offer or answering other important questions like these feel free to give me a call.
Web Reference: http://www.teamlynn.com
0 votes Thank Flag Link Fri Jan 25, 2008
Bruce Lynn, Real Estate Pro in Coppell, TX
MVP'08
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