Earnest Money Deposit – What It Is and Why You Should Understand It

Whether you’re a buyer or seller of real estate, you may find yourself wondering, “What is an earnest money deposit?”, and why does it matter to me? Even if you haven’t run across the term yet, you likely will once you are making or receiving an offer. Norms and laws around earnest money deposits can vary significantly in different real estate markets. My information is based on my experience as a San Diego real estate agent, however many of the details shared here will still be useful to buyers and sellers outside California. Join me as we dive into the ins and outs of the earnest money deposit and its vital importance to buyers and sellers.

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