What does earnest money mean?
Definitions for earnest money
earnest mon·ey
This dictionary definitions page includes all the possible meanings, example usage and translations of the word earnest money.
Princeton's WordNet
earnest money, arlesnoun
money given by a buyer to a seller to bind a contract
Wiktionary
earnest moneynoun
Money paid as a deposit to show intent to buy or to reserve an item to be purchased; especially, money accompanying an offer to buy real estate.
Wikipedia
earnest money
An earnest payment or earnest money is a specific form of security deposit made in some major transactions such as real estate dealings or required by some official procurement processes to demonstrate that the applicant is serious and willing to demonstrate an earnest of good faith about wanting to complete the transaction.In the Middle Ages, the earnest payment was called variously an earnest penny, Arles penny, or God's silver (in Latin Argentum Dei). It was either money or a valuable coin or token given to bind a bargain, notably for the purchase or hiring of a servant. According to Black's Law Dictionary (sixth ed.), Et cepit de praedicto Henrico tres denarios de Argento Dei prae manibus ("And he took it from the aforesaid Henry [sealed by a] silver three pence [piece] handed over [in the sight of] God"). A potential buyer of property of high value such as residential real estate generally signs a contract and pays a sum acceptable to the seller by way of earnest money. The amount varies enormously, depending upon local custom and the state of the local market at the time of contract negotiations. If the seller accepts the offer, the earnest money is held in trust or escrow. These funds may be held directly by the seller's attorney, the real estate broker (as in the State of New York) or by a settlement or title company (as in states like California, Florida, and Texas). When the transaction is settled then the deposit is applied to the buyer's portion of the remaining costs. If the offer is rejected, the earnest money is usually returned, since no binding contract has been entered into.
ChatGPT
earnest money
Earnest money is a deposit made by a buyer towards the purchase price of a property, as a sign of their serious intention or commitment to buy. The deposit is held in an escrow account until the transaction is finalized. If the sale goes through, the earnest money is typically applied towards the down payment or closing costs. However, if the buyer backs out without legitimate reason or breaches the terms of the contract, the seller usually keeps the earnest money.
Matched Categories
Numerology
Chaldean Numerology
The numerical value of earnest money in Chaldean Numerology is: 2
Pythagorean Numerology
The numerical value of earnest money in Pythagorean Numerology is: 1
Examples of earnest money in a Sentence
When there are multiple offers to choose from, sometimes the financial difference between the leading offers is minimal. Look for creative ways to lower the seller’s risk to make your offer more attractive, reducing the number of contingencies you have is the first step, we saw many buyers drop most or all of them in 2021. Consider a very high or non-refundable earnest money deposit, which sends a serious message, [though you should] make sure you’re willing to go that far.
Translations for earnest money
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"earnest money." Definitions.net. STANDS4 LLC, 2024. Web. 20 Sep. 2024. <https://www.definitions.net/definition/earnest+money>.
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