When you make an offer on a house, the offer needs to be accompanied by an earnest money deposit. The purpose of this is to show the seller your sincere intentions to purchase the property. There is no set amount for earnest money, but the more you put down the better your offer will look.
Many buyers are scared they will lose their earnest money if the deal falls through. This could happen, but most often does not. If the home does not appraise for your contract price, if there are certain issues discovered in the inspection that the seller is unwilling to address, or if your financing falls through by no fault of your own, then you will have your earnest money deposit returned. If you simply change your mind about buying the house then you will forfeit your deposit.
For more advise or with any questions about earnest money deposits talk to an experienced agent.
Allen Tate Realty
803 322 4340