Real estate contract

pushedout · #1 Feb 21, 2007, 05:18 AM

I am in the process of selling my home. I need to know if a buyer needs to have an amount of money put in the contract as a "down payment" to the seller. You know in case the sale doesn't go through then the seller gets that money.

LisaB4657 · Feb 21, 2007, 05:23 AM

Yes, there should be some kind of earnest money deposit to cover the seller in the event the buyer defaults. A common amount is 5 to 10% of the purchase price.

If you are selling your home without a realtor then I strongly recommend that you get yourself a real estate attorney to handle this for you. They will prepare and negotiate the contract as well as handling the closing for you. It should not be expensive (approx. $500 to $1500 depending on your location) and you will know that someone is looking out for your interests.



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