The first offer is as you know now a good faith offer, it can be any denomination, usually $500 to $1000 the second deposit is done after you have secured the property through the completion of the attorney review. The more money you put down the stronger you look, but beware the deposit money is held in a trust fund and can be non-refunded if for some reason you decide not to go through with the purchase. Some reasons to be able to get out are sever conditions of the property and not being able to obtain a mortgage. be careful of some short sale and bank owned homes, you really buy these homes in as is condition. SO BE CAREFUL
Think of it as "skin in the game" - if you are unwilling to put that in, the seller will not take you that seriously. Also remember this - the seller will be taking their home off the market once your deal is accepted - it is hard to ask them to do that with just a $1,000 deposit.
Unwavering Commitment to Service
The first deposit is a show of good faith when submitting the offer and the second deposit makes for a stronger offer. Typically the more money a buyer puts down on a home, the stronger the offer and the buyer appears stronger as well. Remember by submitting an offer you are asking the seller to accept your offer and take their home off the market. The more money is a more appetizing offer.
Gina Chirico, Sales Associate
973-575-6353 ext 17 office